Bitcoin Price Faces Critical Test: Will Bulls Hold $96K Or Bears Push To $80K?

Bitcoin price remains at a crucial price level, with the market closely watching whether it can maintain support at $96,000.

Analysts at Glassnode warn that losing this level could push the price down to $80,000, a key historical support. Meanwhile, trading activity shows strong demand and supply zones, creating uncertainty over the next significant move.

Bitcoin Price Tests Key Support at $96K

Bitcoin’s price currently hovers around $96,788 without successfully sustaining itself above this essential support level.

The market analysts at Glassnode suggest that Bitcoin must maintain $96,000 to avoid settling at $80,100 as its following defense line. The -1.5 level of Bitcoin’s adjusted MVRV Z-Score matches this price segment.

The Bitcoin market follows the mean price of $96,300 because this price level served as a major stability point throughout Bitcoin’s history.

Integer analysis indicates that Bitcoin price movement below its anticipated range will result in rapid market descension. The Bitcoin market positioned at $80,000 occurred during a bullish phase in November 2024.

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The current price trend depends strongly upon the $92,200 cost basis retained by short-term holders.

Glassnode reports weak support stretches from $90,000 to $70,000 as Bitcoin drops past its $92,200 cost basis.

The price movements will become more drastic because liquidity gaps create unstable market conditions.

Demand and Supply Zones Shape Price Action

According to market analyst Ali Martinez, there exists a significant demand area between $94,660 and $97,540, in which traders purchased 1.43 million BTC.

An upward movement limitation exists because $97,650 – $99,470 is a region that contains 1.16 million BTC.

Bitcoin trading within its confined zone shows market participants cannot agree on their next operational direction.

In Martinez’s previous analysis, there was a resistance point at $97,530; however, Bitcoin now has surpassed it while working to cement it as support.

According to his assessment, Bitcoin faces a potential decline toward weak support levels of $92,110 after this support level fails.

No significant buying activity between $90,000 and $70,000 creates an unfavorable situation that might lead to severe price drops.

Bitcoin’s price activity ranges between $71,000 and $131,000 while staying inside the standard deviation bands ±1.

The current market price stays within recorded value ranges yet opposes major obstacles, which results in strong resistance against further rises.

To avoid further price decreases below the prevailing trading area, the bulls need to successfully protect key price points.

On-Chain Indicators Signal Strong Demand

The on-chain analyst Darkfost observes Bitcoin demand strength through the evaluation of exchange inflow and outflow statistics despite market price variations.

Research based on the 30-day moving average rate indicates that BTChas a higher net flow out of exchanges than inflow.

The historical exchange pattern indicates accumulation right before short-term price gains occur.

Darkfost warns that part of the exchange outflow could stem from ordinary business operations instead of specific buying pressure.

The downward trend in exchange reserves usually suggests bullish sentiment but institutional transfers and custodial operations may impact the volume changes.

Investors should track the continued existence of this trend before confirming such a potential price increase.

Market sentiment is currently mixed and conflicting as Bitcoin moves between $90,000 and $105,000.

For upward price momentum, the bulls need to maintain a minimum value of $96,000, yet bears work toward breaking down critical support points.

Future days in the trading market will decide Bitcoin’s destiny between stabilization or greater price drops.