Analysis: Geopolitical risks have been partially digested, and bullish divergence signs have appeared in Bitcoin's technical aspects

Matrixport's analysis states that market sentiment remains tense. However, as the market has been trading on the escalation of the situation in the Middle East for a considerable time, the related risks have been largely priced in, with oil prices currently reflecting a geopolitical premium of about $8 to $10 per barrel. If the process of conflict de-escalation occurs faster than the market's general concerns, risk assets may experience a tactical rebound.

From a technical perspective, after a large-scale liquidation of positions, Bitcoin has not seen a further significant decline, showing resilience. As the market enters a consolidation phase, the RSI continues to rise, and bullish divergence signals are gradually emerging. As long as this indicator maintains a fluctuating upward trend, the downward momentum of prices may be suppressed. This also means that continuing to increase short positions at current levels has a weakening risk-reward ratio.