Bitcoin (BTC) Is Trading Steadily Above the $85,000 Mark But Upward Momentum Remains Limited

Bitcoin is trading steadily above the $85,000 mark, but upward momentum remains limited as the $88,000 to $91,000 liquidity zone acts as a major resistance.

Bitcoin price has been trading above the $85,000 mark, but its upward momentum has stalled as the $88,000 to $91,000 liquidity zone continues to act as a major resistance. This range, which previously supported price action, has now flipped into a critical barrier that bulls have yet to reclaim.

Now, as broader macroeconomic instability and trade war fears keep knocking on investor sentiment, these macro trends are playing a key role in shaping short-term price movements.

On-chain data from CryptoQuant reveals a notable shift in supply dynamics. Over the last five months, supply from major Bitcoin holders, commonly referred to as ‘whales’ with balances above 1,000 BTC, has seen a significant reduction of 290,000 BTC.

This drawdown, signaled by crypto analyst Axel Adler on X, points to a period of consistent distribution. However, recent metrics suggest that the selling pressure may be slowing down.

Bitcoin Pivots at Key Level As Whales Show Fatigue

Bitcoin is once again at a pivotal level, with bulls attempting to break above the $88,000 mark to spark a renewed rally. After reclaiming support at $85,000, momentum has been building. But a clear breakout seems elusive, and with the $88K level presenting a key technical barrier, a move above it could open the door to retesting the critical $90K-$91K liquidity zone.

However, caution still dominates the market as broader macroeconomic instability continues to weigh on investor sentiment. Ongoing trade war fears and unpredictable policy decisions are keeping financial markets in a state of heightened volatility.

This macro uncertainty is playing a key role in shaping short-term price movements, keeping traders cautious despite signs of underlying strength. As traders navigate this period of heightened market sensitivity, on-chain metrics offer a deeper structural view of the market.

Top analyst Axel Adler shared fresh insights on X, revealing that over the past five months, supply from major players—particularly those with wallet balances exceeding 1,000 BTC—has declined by 290,000 BTC. This structure, spotted in the chart below, suggested consistent selling over several months.

But Adler notes that average figures have now started to rise again, signaling a slow but clear shift back toward accumulation. In simpler terms, whales have stopped selling.

This change in behavior among large holders could provide foundational support for a future rally.

While the macro backdrop remains uncertain, the shift in whale activity hints at renewed confidence and a potential transition from distribution to accumulation—a critical signal as Bitcoin approaches one of the most important resistance zones of the current cycle.

Bitcoin 200-Day MA Holds Key Support But Pay Attention To $90K

Bitcoin is currently holding above the 200-day moving average (MA) and 200-day exponential moving average (EMA), both converging near the $85,500 level. This zone has acted as a key support area in recent weeks, and bulls must continue to defend it to prevent a deeper drop into lower demand regions.

For now, the level is holding — but technical support alone won’t be enough to shift momentum. While maintaining the 200-day averages is a positive sign, it becomes meaningless if Bitcoin fails to reclaim the $90,000 level.

That price zone remains the most critical resistance to watch, serving as a key liquidity area and psychological barrier. Without a decisive breakout above $90K, the current bounce risks losing steam.

If Bitcoin remains stuck below $90K in the coming days, bearish pressure is likely to build, increasing the probability of a drop below $81,000. That would mark a significant breakdown and could trigger more aggressive selling across the market.

As BTC trades within a tight and tense range, bulls are running out of time. A move above $90K is crucial to validate the current structure and confirm the beginning of a new leg higher.