Analyst: The market is at a critical juncture of structural correction, with the futures market still dominated by sellers.

BlockBeats news, October 20 — Crypto market analyst Axel Adler Jr. released his latest market observation, noting that Bitcoin has fallen from $86,700 on October 2 to $81,600 on October 20, a cumulative decline of about 6%. The market is currently at a critical juncture of a structural pullback, with bulls and bears battling near key support levels.

According to Alex's analysis, Bitcoin's market structure signal has dropped from +0.37 a week ago to -0.32. Although the signal has moved out of bullish territory, it remains in neutral territory and has not yet touched the bearish threshold below -0.5. He emphasized that the lower boundary of the price range over the past three weeks sits at $80,400. As long as the price holds above this level, the current move can still be viewed as a normal pullback within the range; however, if the price breaks below $80,400 and the structure signal simultaneously slides below -0.5, the market pullback will officially evolve into a downtrend.

In the futures market, the index line reflecting the strength of bulls versus bears (buyers above 50, sellers below 50) has remained below 50 since October 17. Although the index approached 50 on October 19, it failed to break through and has now fallen back to 46. Alex stated that a decisive break above 50 on the index line would be the first signal of buyers returning. However, sellers currently still hold absolute dominance, and demand in the futures market lacks sufficient strength to push prices higher.

Overall, Bitcoin is currently in a critical period of directional decision-making. The market needs to closely monitor the performance of the $80,400 support level and whether the futures long-short index can reclaim the 50 mark, in order to determine whether this pullback is a short-term correction or a precursor to a trend reversal.