Bitcoin has failed to gain a foothold above the make-it-or-break-it $90,000 level once again. This shows that the bullish momentum has waned.
The $90,000 bull trap
Price data from Bitstamp showed BTC grinding upward throughout the early morning Asian session. The crypt king peaked just above $90,200 around 05:00 UTC.
However, the breakout proved fragile. By 09:30 UTC, selling pressure intensified. It eventually cascaded into a high-volume flush that erased the entire day’s progress.
As of press time, Bitcoin is trading near $86,800, down roughly 3.8% from its intraday high.
The chart shows a violent rejection with a series of large red candles that engulfed the spike upward that preceded them.
The inability of buyers to defend the $90,000 level has caused despair within the trading community. Analyst Connor Bates pointed to the price action as evidence of an exhausted market structure.
Numerous false breakouts
The month began with deceptive strength. In the first week of December, Bitcoin successfully pierced the $90,000 ceiling and pushed as high as $93,000. However, the breakout lacked conviction. The asset failed to flip the level into support. This led to a swift correction back below $90,000. The bulls who bought the top ended up being trapped.
Just a week later, buyers mounted a second campaign. Price action surged again, wicking up toward the $93,000–$94,000 region. This attempt was met with even fiercer selling pressure. This resulted in a “lower high” structure and a sharp drawdown that sent prices tumbling toward $86,000.
Around Dec. 19, a weaker recovery attempt saw Bitcoin briefly tap the liquidity just above $90,000. Unlike the previous rallies, this move lacked the volume to sustain even a daily close above the level. The rejection here was immediate.
It seems that the bulls are extremely unlikely to fix the current predicament.
There is only a 4% chance of Bitcoin reclaiming the $95,000 level this year, according to Polymarket bettors.
Source: https://u.today/bitcoin-btc-price-90k-violently-rejected-once-again-is-it-over
