Future Trader Analyst

BTC Moments: Bitcoin Tests $85k Support Amidst Deep Correction

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Bitcoin (BTC) is facing a pivotal moment this week as price action tests critical support levels following a sharp rejection from its recent highs. Trading at $85,770, the market leader is down nearly 4% on the day, with bears in firm control of the short-term trend.
Here is a breakdown of the key technical moments shaping Bitcoin’s current trajectory.
1. The Correction from $111k
The most striking feature of the daily chart is the steep correction from the recent all-time high area of $111,250. After a euphoric rally, the market has entered a cooling-off phase, shedding over 20% of its value. This "moment" represents a classic healthy retracement in a larger bull cycle, though the depth of the drop has traders on edge.
2. Bollinger Band "Squeeze"
Technically, Bitcoin is currently riding the Lower Bollinger Band (DN: $86,030).
The Signal: When price hugs the lower band, it typically indicates strong bearish momentum. However, it also signals that the asset is becoming stretched to the downside.
The Moment to Watch: Bulls need to defend this zone. A decisive close below $85,000 could open the floodgates for a retest of the $80,600 lows seen earlier this month. Conversely, holding this level often leads to a "mean reversion" bounce back toward the middle band (currently ~$90,200).
3. KDJ Indicator Flashes "Oversold"
One of the most intriguing "BTC moments" on this chart comes from the KDJ indicator:
K: 21.76
D: 37.28
J: -9.30
The J-line (purple) has dipped into negative territory (-9.30). In technical analysis, a negative J-value is a rare and aggressive "oversold" signal. This historically suggests that selling pressure may be exhausting itself and a relief bounce or short-term reversal could be imminent.
4. Key Levels to Watch
As we move through mid-December 2025, traders are fixated on two key price zones:
Support ($80,600 - $85,000): This is the "line in the sand." The $80.6k level previously acted as a springboard for a relief rally; losing it would confirm a deeper bearish trend.
Resistance ($90,000 - $94,000): The Middle Bollinger Band at ~$90k acts as the first major resistance. Reclaiming this level is essential to flip the momentum back to bullish.
Conclusion
Bitcoin is currently in a "show me" moment. While the trend is undeniably down, the oversold signals (Negative J-line) and proximity to major support suggest the risk-to-reward ratio for a bounce is improving. Investors should watch for a stabilization above $85,000 in the coming 24 hours to confirm if the bottom is in.

Terra News: Do Kwon Sentenced to 15 Years; LUNA & LUNC Rally on Volatility
December 12, 2025
The Terra ecosystem has returned to the global spotlight this week following the conclusion of one of the most high-profile legal sagas in crypto history. Do Kwon, the co-founder of Terraform Labs, has been sentenced to 15 years in prison, a verdict that has triggered massive volatility and speculative rallies for both Terra (LUNA) and Terra Classic (LUNC).
Headlines
Do Kwon Sentenced: A U.S. federal judge sentenced Kwon to 15 years for fraud, exceeding the 12 years prosecutors initially requested.
LUNA Surges: The token rallied over 100% this week, driven by speculative trading and a successful network upgrade.
LUNC Burns Intensify: Terra Classic (LUNC) saw a supply shock-driven rally of nearly 125%, fueled by massive token burns and spillover sentiment.
The Verdict: 15 Years for a $40 Billion Collapse
On Thursday, December 11, U.S. District Judge Paul Engelmayer sentenced Do Kwon to 15 years in prison for his role in the 2022 collapse of the Terra ecosystem, which wiped out an estimated $40 billion in investor value.
The Sentence: The 15-year term is steeper than the 12 years recommended by prosecutors. The defense had argued for a maximum of five years.
Financial Penalty: Kwon was also ordered to forfeit $19 million in ill-gotten gains.
Judge’s Remarks: Judge Engelmayer reportedly described the fraud as "colossal" and noted that Kwon had repeatedly lied to investors about the stability of the TerraUSD (UST) algorithmic stablecoin.
This sentencing effectively closes the U.S. chapter of the legal battle, though Kwon still faces potential legal challenges in South Korea.
Market Reaction: A Speculative Firestorm
Contrary to the "sell the news" expectation, the sentencing week triggered a massive speculative frenzy for Terra ecosystem tokens.
Terra (LUNA)
LUNA, the token of the new chain (Terra 2.0), became one of the week's top performers.
Price Action: LUNA surged from approximately $0.07 to nearly $0.20 earlier in the week, marking a gain of over 100%.
Drivers: The rally was fueled by the successful v2.18 mainnet upgrade on December 8, which fixed critical bugs and improved network stability. Traders also speculated that the "closure" provided by the sentencing might remove the uncertainty that has suppressed the token's price for years.
Terra Classic (LUNC)
The original chain, Terra Classic, also saw explosive growth.
Price Action: LUNC rallied aggressively, climbing from $0.000028 to highs near $0.00008, before retracing to the $0.00006 range.
Supply Shock: The rally was largely attributed to a "supply shock" dynamic. Over 1.5 billion LUNC were burned in the last week alone, with Binance continuing to support the monthly burn mechanism. This reduction in supply, coupled with a 750% spike in volume, created a parabolic move.#LUNAUpdate #LUNA #LUNC
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