Market data indicates that Bitcoin's Sharpe ratio has fallen below zero, reaching levels not seen since the FTX collapse. Historically, such low readings have often preceded major market reversals or bottoming structures, suggesting the current risk-adjusted returns are heavily skewed. However, analysts remain cautious as ETF outflows and broader macroeconomic data continue to weigh on sentiment. Despite a "gentle recovery" in price, the market structure is described as guarded, with traders hesitant to commit fully without further confirmation. The conflicting signals between technical indicators suggesting a bottom and institutional flow data showing caution paint a complex picture for the immediate term.