As Bitcoin’s price fell below $90,000, the market triggered a new phase of volatility. According to the latest reports, this breakdown signifies a sharp contraction in risk appetite, erasing most of the gains for 2025. The previous key support failed to hold, raising concerns among investors about a mid-term downturn.
Death Cross: Bitcoin’s 50-day moving average is close to crossing below the 200-day moving average, which is widely regarded as a typical bearish signal.
200-day moving average resistance: The previous support level has been broken, and the technical outlook is weak in the medium term.
Medium-term downside risk area: Analysis indicates that if it further breaks down, it may currently test the $85,000–$90,000 area.
Deeper support: Some opinions suggest that if the current support is broken, a more serious pullback may reach the $75,000–$82,000 range.
Selling pressure from long-term holders: Glassnode data shows that some long-term holders are selling at high prices, putting pressure on the market.
Investor sentiment is weak: on-chain and capital data reflect that the sentiment of short-term holders has weakened and trading activity has decreased.
Prediction platform view: For example, data from Polymarket shows that the probability of Bitcoin falling below $90,000 by the end of the year has risen to about 68%.
The following are several key factors to closely observe in the medium-term layout:
Volume change: If the rebound lacks support from trading volume, it may just be a technical rebound.
On-chain indicators: such as changes in the net position of long-term holders, short-term address activity, etc.
Macroeconomic policies: The direction of the Federal Reserve interest rates, inflation data, and global risk appetite will significantly impact BTC.
Sentiment indicators: Fear-Greed Index, market volatility (similar to VIX index) are reference points.
Technical structure: whether a rebound high point has appeared, whether a double bottom or oscillation structure has formed.
Build positions in batches: Consider building medium-term long positions in batches during a rebound to reduce the risk of a single entry.
Set band take profit / stop loss: gradually reduce positions during a Rebound; if it breaks through key support, consider stopping loss.
Flexible position adjustment: dynamically increase or decrease positions based on market signals (such as on-chain data, technical structure).
Mixed strategy for long-term and medium-term: For investors with faith, a portion of funds can be locked in for the medium to long term, while another portion is used to capture medium-term rebounds.
Risk management is key: maintain moderate positions, do not blindly increase leverage, and avoid significant volatility risks.
Bitcoin falling below $90,000 is an important correction, with significant technical risks and signals such as death cross indicating potential further downward pressure in the medium term. However, at the same time, the opportunity for a medium-term rebound has not completely vanished. Through the solidification of key support zones, trading volume, on-chain data, and other signals, the market may be poised for a technical rebound or volatile consolidation. For investors, medium-term positioning requires rationality, gradual approaches, flexibility, and strict risk management. Currently, it is a stage where challenges and opportunities coexist.
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