- Bitcoin dropped from $125,000 in early October to just above $80,000 in mid-November, setting off a bear market.
- Reclaiming the psychological $90,000 support signals a rebound, raising hope of returning to $100k.
- ETF activity signals a return of buyer appetite,
Bitcoin has had a good week. It’s up over 6%, jumping from under $80,000 to around $91,730 as of this writing. After dropping for six weeks from early October highs of over $111,000 many people are wondering if this move means a real trend reversal or just a short-term relief rally. Recent data and technical signals point to the first one being more likely.
Fundamental Tailwinds Return
The resurgence happened at the same time as renewed interest from institutions. Spot Bitcoin ETFs recorded their first meaningful weekly inflows in over a month, adding more than $500 million. Tom Lee of Fundstrat said on CNBC that he was still optimistic, even if he lowered his year-end target from $250,000 to $150,000. He mentioned that long-term holders are steadily buying, according to Glassnode. Also, on-chain data shows that short-term holders have mostly stopped selling, which usually means a lasting recovery is coming.
One of the most significant external factors supporting Bitcoin price rebound is the shifting narrative around monetary policy. Data from the CME FedWatch Tool has shown a sharp increase in the probability of a Federal Reserve interest rate cut in December. Lower interest rates typically boost appetite for high-growth, “risk-on” assets, including cryptocurrencies
All things considered, including improving fundamentals, exhausted selling pressure, and a clear technical reversal pattern leans toward this week’s advance being the start of a new impulsive phase rather than a bear-market bounce. If Bitcoin price closes above $92,000 soon, that’s a good sign. For now, it seems smart to invest a bit, especially if you missed buying when it was below $85,000.
The most immediate challenge for Bitcoin bulls is to transform the rebound into a consolidation phase above key resistance levels. A sustainable move requires more than just short-covering; it needs renewed, strong institutional and retail buying volume.
Bitcoin Price Prediction
Bitcoin is back near the Volume Weighted Moving Average ($91,819) on the daily chart and the stochastic indicator signals control by the buyers. The coin will likely meet the first resistance at the psychological $93,000. Above that level, an extended control by the pulls could push the action higher to test $95,555.
The sellers will likely take control if the price breaks below $90,475. That could see the next support come at $88,280. The upside narrative will be invalid below that level and an extended control by the sellers could send BTC price lower to test $84,000.
BTC/USD daily chart with key support and resistance levels. Created on: TradingView
The debate centers on whether the rebound is the start of a sustained trend reversal or merely a relief rally within an ongoing bearish correction. Volatility and the severity of the prior decline make this distinction critical for investors.
Bitcoin needs to get past the $92,000 mark soon. If it can clearly go above that, it could change the market’s direction and head towards that $100,000 goal.
Should I invest in Bitcoin after this week’s rise?
If Bitcoin stays above $88,000, investing now could be a good move. If it closes above $92,000, that would confirm it’s going up, making $100,000 possible.
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