Key Points
- BTC has slipped below $87,000, declining by less than 1% over the past 24 hours.
- Major cryptocurrencies could retest the $93,000 resistance level in the near term.
Bitcoin’s $83,000 Support Holds
Bitcoin briefly dipped below $84,000 on Tuesday before recovering, and it is currently trading above $86,000 per coin. This weak performance comes amid a tightening of global liquidity and broader macroeconomic pressure, which has been compounded by declining confidence in crypto following the Yearn hack.
Analysts warn that Bitcoin could face further downside toward the end of the year. Nick Forster, founder of on-chain options platform Derive.xyz, told CoinJournal via email that macro uncertainty remains a dominant factor.
Uncertainty around Bank of Japan policy tightening and the timing of U.S. Federal Reserve rate cuts continues to weigh on Bitcoin and the broader crypto market.
“Volatility spiked. BTC’s 30-day volatility jumped from 46% to 50% over the past 24 hours, and skew plunged from -5% to -8% before recovering slightly to -6% at the time of writing. This move reflects active demand for downside protection as traders adjust positions in anticipation of further weakness,” Forster added.
In the options market, 15% of traders expect Bitcoin to fall below $80,000 by year-end, while 21% remain optimistic that BTC will exceed $100,000 by then.
BTC Eyes the $93,000 Resistance
The BTC/USD 4-hour chart shows a bearish bias, and Bitcoin has traded sluggishly over the past five days. Technical indicators remain tilted toward the downside, but a move above the $93,000 resistance level could shift momentum back to the bulls.
At the time of writing, BTC trades at $86,882 per coin. If the market continues to recover, Bitcoin could rebound toward the $93,000 resistance within hours or days.
The 4-hour RSI at around 40 indicates that Bitcoin is no longer in deeply oversold territory, suggesting the bearish trend may be easing.
However, if bears regain control, Bitcoin could retest the $80,000 low established on November 21.