BTC is Range-Bound Below $90,000 Until These Metrics Change
Bitcoin is trading near $87,000, but on-chain data and exchange metrics show declining network activity and low participation from traders. The 30-day moving average of active addresses has dropped to its lowest in a year, indicating reduced engagement from both retail and short-term participants. Deposit and withdrawal activity on major exchanges like Binance is also at annual lows, signaling a market stalemate with little aggressive buying or selling. Exchange inflows have contracted significantly, with Coinbase’s seven-day inflows falling 63% since late November, reflecting tighter liquidity and muted short-term trading. Technically, Bitcoin remains range-bound between $85,000 and $90,000, repeatedly failing to break resistance, and is below its monthly VWAP. There are key liquidity clusters on both sides: a downside buy-side gap between $85,800 and $86,500 could trigger $60 million in long liquidations, while an upside gap between $90,600 and $92,000 holds $70 million in short exposure. Bitcoin’s direction will likely depend on which liquidity zone is tested first.
