Bitcoin struggled to maintain levels above $85,000, leading traders to question the sustainability of the bull market following a notable drop from its all-time high of $109,354. Despite this, derivatives metrics suggest resilience in the market, with the Bitcoin basis rate showing a recovery towards neutral territory, indicating stability after recent bearish signals. Bitcoin's price behavior has aligned more closely with the S&P 500 rather than functioning as a non-correlated asset, raising concerns as economic uncertainty grows. However, expectations of central banks implementing stimulus measures could enhance Bitcoin's performance. Furthermore, indicators from Bitcoin options demonstrate that professional traders are not currently hedging heavily, as the sentiment remains within a neutral range. The Bitcoin long-to-short margin ratio indicates bullish sentiment, historically reflected when Bitcoin traded above $100,000. As recession fears subside, Bitcoin is anticipated to potentially regain the $90,000 level, assuming broader market conditions improve.

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