After several days of steady decline, Bitcoin fell to $90,000, its lowest level in seven months. While this decline seems concerning, many investors see it as a strategic entry point.
Price trends suggest opportunity rather than a sign of sustained weakness, especially as long-term market trends remain constructive.
Bitcoin holders move to accumulation
Swissbloc data shows that short-term holders’ loss supply has surged to levels that are historically linked to intermediate-term bottoms. These spikes indicate extreme stress in each cycle and tend to appear just before the recovery phase. Despite the pressure, short-term holders are showing no signs of panic selling, reinforcing the case for stabilization.
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Current indicators point to a bottom rather than the beginning of a deeper bear market. The lack of forced capitulation and the consistency of these patterns over past cycles suggests that Bitcoin may be forming a foundation.
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Macro momentum is also improving. Changes in the exchange’s net position changed from inflows to outflows less than a week later. Over 20,167 BTC worth $1.82 billion exited the exchange in the past 24 hours. This shift signals growing confidence among investors who view pullbacks as accumulation opportunities.
Persistent outflows often reflect long-term criminal convictions, as coins move into storage rather than trading locations. Strong buying interest during price declines supports the narrative that traders are expecting even higher levels going forward. Bitcoin’s macro environment continues to strengthen as inflows slow and accumulation increases.
BTC price has room for recovery
Bitcoin is trading at $90,331, above the $89,800 support level, which provides an important cushion on the downside. While the recent slide to multi-month lows has raised concerns, technical and behavioral signals suggest downside pressure is easing.
Based on investor support and historical patterns, further significant declines seem unlikely. As confidence improves, a rebound from $89,800 could push BTC back toward $95,000. Strengthening demand and currency outflows strengthen the chances of a near-term recovery.
If the bullish momentum weakens and broad-based weakness strengthens, Bitcoin could fall below $89,800 and towards $86,822. Such a decline would invalidate the current bullish theory and signal a deeper retrace.
