Bitcoin briefly surged to $90,00, gaining 6.8% between March 5 and March 6, before reversing due to macroeconomic concerns.

Bitcoin's recent attempt to reclaim $95,000 was short-lived, as macroeconomic and geopolitical headwinds forced a price reversal after hitting $90,00.

Bitcoin briefly touched $92,000 on Monday, gaining 6.8% between March 5 and 6, before reversing due to macroeconomic concerns and a potential shift in institutional risk appetite. The S&P 500 volatility index (VIX) hit its highest level in 11 weeks, signaling increased risk aversion.

Bitcoin's attempt to break above $95,000 was ultimately unsuccessful, as several factors forced a reversal in momentum after hitting $92,000.

Recession fears and the Federal Reserve's cautionary stance dampened market sentiment. Philadelphia Federal Reserve President Patrick Harker warned of increasing stress on the consumer sector, especially among lower-income groups.

While Harker suggested that price pressures are retreating, he did not project economic strength, which could limit Bitcoin's upside in the coming months.

The VIX reached 24, its highest since early November, indicating heightened risk aversion among institutional investors. As a result, traders are shifting to cash and cash-equivalents, anticipating potential rate cuts but also bracing for economic downturn risks.

The S&P 500 dropped 1.3 percent, which also triggered Bitcoin's reversal as institutional risk appetite declined.

Bitcoin has historically struggled during economic slowdowns as traders tend to hedge against uncertainty by exiting speculative assets and shifting towards the U.S. dollar or other safe-haven investments.

Bitcoin faces several headwinds that could stall its recovery in the short term. The Ukraine conflict and tariff disputes have driven higher market volatility.

Bitcoin has underperformed in past high-volatility periods, as risk-averse investors retreat from speculative assets and institutions prefer to hold low-volatility assets such as bonds.

A prolonged escalation in global tensions could further delay Bitcoin's breakout above the $95,000 resistance.

Increased uncertainty forces investors to de-risk portfolios, ultimately placing a ceiling on Bitcoin's upside in the short term.

Investors are awaiting clarity from the March 7 Crypto Summit, which could influence Bitcoin's long-term policy outlook.

If the U.S. government simply halts Bitcoin sales from administrative seizures, it could disappoint investors who are hoping for a more aggressive pro-crypto stance from the Trump administration.

If the reserve proposal hinges on Congressional approval, the market may reassess Bitcoin's potential upside, awaiting regulatory clarity to determine if a crypto ETF could be approved.

The market needs a decisive pro-Bitcoin stance from the U.S. government to fully support a continuation of the rally and unlock further upside for Bitcoin.

However, despite these challenges, global monetary policy trends could ultimately benefit Bitcoin.

China has signaled more room for fiscal stimulus in the coming months, while the European Central Bank is shifting toward less restrictive policies to support the eurozone economy.

Bitcoin has historically thrived in liquidity expansion cycles, with Lyn Alden's research showing a strong 83 percent correlation between Bitcoin and global liquidity trends over the past decade.

If monetary easing accelerates, Bitcoin could regain its bullish trend as liquidity injections push investors toward hard assets and speculative investments.

Key Levels to Watch

$95,000 Resistance: Bitcoin needs a reduction in macro uncertainty and a decisive move above $95,000 to signal a continuation of the rally.

Crypto Summit Outcome: Clearer policy direction from the Trump administration could trigger a reassessment of Bitcoin's potential in the coming months.

Global Liquidity Trends: If monetary easing accelerates, we could see renewed upside momentum in Bitcoin.