Bitcoin (BTC) is Currently Trading Below the $87,000 Level, Struggling to Find Momentum

Bitcoin is currently trading below the $87,000 level, struggling to find momentum as bearish pressure and market volatility continue to create uncertainty.

US President Donald Trump signing an executive order to create a Strategic Bitcoin Reserve on Thursday was widely anticipated to be a bullish development for Bitcoin. However, the market reacted negatively to the announcement, as investors had high expectations that were not fully met.

As a result, Bitcoin price dropped after the news, signaling that traders were expecting more clarity on how the US government plans to manage and utilize the Bitcoin reserve.

While the narrative of a Bitcoin bull market has been unfolding rapidly since the beginning of 2024, Countertops has an interesting perspective.

According to the crypto analytics platform, Bitcoin whales have been busy accumulating large amounts of BTC in recent weeks. In the past two weeks alone, they have accumulated over 30,000 Bitcoin.

This massive accumulation signals a strong buying trend among large investors, even as BTC struggles to stabilize above key resistance.

Bitcoin’s price has been encountering resistance in the $90,000 to $95,000 range, encountering selling pressure as bulls struggle to sustain momentum for a breakout.

The crypto behemoth is still holding above $85,000, a critical support level that could serve as a definitive point of inflection if bulls fail to defend it. A breakdown below this support could pave the way for further price declines.

Bitcoin’s recent struggles

Bitcoin’s price movements have closely mirrored the trends in U.S. stock markets. Investors are reacting to concerns of a widening global trade war, which could have a significant impact on global economic growth.

Macroeconomic uncertainty, combined with ongoing regulatory concerns, have kept risk assets, like Bitcoin, in a volatile state. However, this turbulence could subside if upcoming developments, such as President Trump’s announced tax cuts and administrative streamlining measures, provide benefits for investors.

These factors could serve as catalysts for renewed confidence in both traditional markets and cryptocurrencies.