BTC Price Under Pressure: Bitcoin Struggles to Break Above $85,000

Could a Short Squeeze Boost Bitcoin to $100,000?

Bitcoin’s price has shown volatility and uncertainty in recent performance, with analysts and on-chain data pointing to potential short-term challenges. Forecasts indicate that Bitcoin may struggle to sustain its price above key levels, with selling pressure playing a crucial role in this outlook.

Will BTC Price Break Resistance at $85,000?

According to analyses, BTC is facing difficulties staying above $85,000 due to persistent selling pressure. This pressure is reflected in the increasing Coin Days Destroyed (CDD) indicator, which tracks how long Bitcoin has been held before being moved. A rise in CDD suggests that short-term holders—those who have recently acquired Bitcoin—are selling their holdings amid market uncertainty.

Currently, BTC is trading around $83,000 and struggling to surpass the $85,000 resistance level. If it fails to maintain support at $82,761, Bitcoin’s price could drop to $80,000 or lower. However, if it successfully breaks past $85,000 and establishes support at higher levels, it could signal the potential for a recovery rally.

BTC price 4 hours chart: Tradingview
BTC price: TradingView

Additionally, the market has seen significant Bitcoin sales by large investors, contributing to a moderate capitulation event. Investors who bought Bitcoin at its peak of $109,000 in January are now selling in response to the price decline.

Short-term holders—investors who purchased Bitcoin within the last 155 days—are currently experiencing unrealized losses, as the price hovers around $81,930. On-chain data analysis suggests that if selling pressure persists, BTC’s price could fall as low as $70,000.

Uncertainty Requires Caution

Despite selling pressure and predictions of further declines, Bitcoin has also shown some resilience. Following a period of instability, BTC surged 7.5% in the last 24 hours, aligning with a stabilization in the U.S. market. This partial recovery highlights the volatility and unpredictable nature of the cryptocurrency market.

As a result, BTC’s price outlook remains uncertain, with technical factors, on-chain data, and investor behavior shaping its trajectory. Investors should closely monitor market signals, consider the risks involved, and approach investment decisions with caution.

Disclaimer
The information provided in this article is for informational purposes only and reflects the author’s opinion. It should not be construed as financial, legal, or investment advice. The cryptocurrency market is volatile and carries risks. Please conduct your own research before making any decisions.

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