Bitcoin (BTC) has been trading under the $90,000 mark as the new year approaches, although it has shown some modest gains in the past 24 hours.
Whether this upward momentum will persist remains uncertain; however, a positive outlook has been shared by the analytics firm 10X Research.
The experts at 10X Research have noted that Bitcoin recently broke out of its downward trend. Should this breakout sustain, it could trigger a multi-week rally.
According to their analysis, Bitcoin’s current price pattern originated from a sharp decline on October 10th.
The selling intensified following the Federal Reserve’s hawkish stance announced during their October 29th meeting.
This led to significant sell-offs in Bitcoin. Despite this pressure, buyers remained hesitant, causing an extended downtrend longer than initially anticipated. Although selling eased somewhat in November, cautious buying kept Bitcoin moving sideways for several weeks—testing both bullish and bearish investors’ patience.
Nonetheless, analysts suggest that conditions might be shifting. They point out that Bitcoin recently climbed above its descending trendline—a sign that downward momentum may be fading. Strong support around $85,000 continues to bolster buyer confidence. Maintaining prices above this threshold could prevent deeper declines and pave the way for an upward movement.
Please note: This content does not constitute financial advice.