Bitcoin (BTC) Price Prediction: BTC Faces Crucial Test Between $80K and $89K

Bitcoin experienced intense volatility yesterday, surging above $88,000 before plunging below $82,000 within hours.

Bitcoin experienced intense volatility on Wednesday, surging above $88,000 within sight of the crucial psychological level. However, the cryptocurrency quickly lost steam and plunged below $82,000 within a few hours.

The massive swing came as U.S. President Donald Trump announced new tariffs on what he declared “Liberation Day,” sparking fresh fear across global markets. Global stocks tumbled in response, and risk assets - including Bitcoin - also saw sharp intraday moves.

According to Daan, crypto analyst and host of the 'Best Node' podcast, there are mixed signals. While Michael Saylor recently made a $2 billion BTC purchase and several other large buys came in, a slight Coinbase Spot Discount remains in play, which is usually a lagging indicator.

According to Daan, a strong bullish signal would be for Coinbase’s spot price to lead again, which indicates interest from U.S. buyers and ETF participants. If the discount closes and spot prices rise, it could mark the return of strong demand and signal the start of a new bullish phase.

However, if the discount remains and the futures prices continue to trade at a premium, it suggests that U.S. investors are still relatively inactive and the broader trend remains fragile.

According to Daan, ETF inflows have also been relatively flat in recent weeks, offering little additional momentum to the market.

“Once we see institutional demand return in full force and sustain above-average levels for a few months, we can expect to see Bitcoin stabilize and rebound from this correction. Until then, traders will remain on edge, watching closely for the next move in a highly unstable market,” Daan said.

Bitcoin Is Crucially Pivoting Between $80K and $89K

Bitcoin is currently at a critical crossroads, caught in a tight range as bulls struggle to reclaim higher ground above $89,000 while bears fail to push the price below the key $80,000 support. This standoff comes amid rising macroeconomic uncertainty and growing trade war fears, with U.S. President Donald Trump’s recent tariff announcements continuing to rattle global markets.

As a high-risk and volatile asset, Bitcoin remains especially vulnerable to these developments, amplifying investor caution. However, despite this uncertainty, there are signs of resilience. Bulls have managed to defend crucial support zones, and selling pressure appears to be weakening.

Many traders are closely watching for confirmation of a shift in momentum that could support a broader recovery. According to Daan, the market is still showing mixed signals.

Even with Michael Saylor’s recent $2 billion Bitcoin purchase and additional large buyers stepping in, a slight Coinbase Spot Discount remains in play—a sign that U.S. investor demand has yet to catch up.

According to Daan, a strong bullish signal would be for Coinbase’s spot price to lead again, which indicates interest from U.S. buyers and ETF participants. If the discount closes and spot prices rise, it could mark the return of strong demand and signal the start of a new bullish phase.

However, if the discount remains and the futures prices continue to trade at a premium, it suggests that U.S. investors are still relatively inactive and the broader trend remains fragile.

According to Daan, ETF inflows have also been relatively flat in recent weeks, offering little additional momentum to the market.

“Once we see institutional demand return in full force and sustain above-average levels for a few months, we can expect to see Bitcoin stabilize and rebound from this correction. Until then, traders will remain on edge, watching closely for the next move in a highly unstable market,” Daan said.

Price Tests Key Support After Volatile Rejection from $88K Level

Bitcoin is trading at $83,600 after a highly volatile Wednesday, during which the price briefly surged toward $88,000 before sharply reversing. Bulls failed to hold the breakout, and BTC dropped over 8% in just a few hours, reinforcing the current consolidation range below key resistance levels.

The sudden rejection highlighted the market’s fragility and the continued struggle to regain bullish momentum. To confirm a recovery phase, Bitcoin must reclaim the 200-day moving average (MA) and exponential moving average (EMA), both of which are currently around the $86,500 level.

A decisive move above this zone would be a strong signal that bulls are regaining control and could push BTC toward retesting the $90,000 mark. However, if BTC fails to reclaim these levels soon, the risk of further downside remains high.

A break below the $81,000 support level would likely trigger increased selling pressure and potentially open the door to a deeper correction.

With macroeconomic uncertainty and ongoing trade war fears still weighing on investor sentiment, Bitcoin’s next move remains highly uncertain — and critical in defining the direction for the weeks ahead. Bulls must act quickly to prevent a deeper slide and restore