Skip to main content

Bitcoin Net Taker Volume Signals Bullish Momentum – Temporary Hype Or Trend Reversal?

Bitcoin is holding firm above the $85,000 mark, signaling early signs of a recovery as market sentiment begins to shift. The renewed momentum follows last week’s major geopolitical development: a 90-day tariff pause announced by U.S. President Donald Trump for all countries except China, which continues to face a 145% trade tariff. The announcement injected optimism into global markets, with Bitcoin responding positively after weeks of volatility and uncertainty.

Now, BTC is eyeing a breakout above critical supply levels near $87K–$90K, levels that could mark the beginning of a broader uptrend if breached with volume. According to new insights from CryptoQuant, since Friday, bulls have taken control of the derivatives market—an encouraging sign that leverage is now favoring upward momentum.

While macroeconomic risks remain, including ongoing trade tensions and interest rate uncertainty, market structure is beginning to show signs of strength. Key technical levels are being tested, and if bulls maintain their current position in both spot and derivatives markets, a push toward $90,000 could come sooner than expected. All eyes now turn to how BTC behaves around its 200-day moving averages, as another leg higher may hinge on that breakout.

Bitcoin Builds Strength as Bulls Take Control of Key Indicators

Bitcoin appears to be preparing for a potential market surge, as bulls continue to push the price above critical technical levels. After weeks of uncertainty and high volatility, Bitcoin’s recent resilience above the $85,000 level is signaling growing momentum among buyers. Despite the positive signs, macroeconomic tensions remain a key factor influencing sentiment. US trade policy, geopolitical unrest, and recession fears continue to create a fragile environment for risk-on assets like crypto.

Some analysts remain cautiously optimistic, calling for a recovery rally if Bitcoin maintains its position above the 200-day exponential moving average and key short-term support zones. Others, however, remain skeptical, warning that continued uncertainty could trigger another leg down if confidence fades.

Top analyst Axel Adler shared new insights on X, highlighting that the Bitcoin cumulative net taker volume—a measure of aggressive buying versus selling—has flipped positive. This suggests that buyers are stepping in with increasing conviction.

Bitcoin Cumulative Net Taker Volume | Source: Axel Adler on X

Additionally, Adler noted that since Friday, bulls have taken control of the derivatives market, which further strengthens the bullish case. When combined with growing spot demand and on-chain accumulation signals, this shift in momentum may support a broader move higher in the coming sessions.

BTC Price Faces Crucial Resistance as Bulls Lose Momentum

Bitcoin is trading at $85,700 after struggling to reclaim the 200-day exponential moving average (EMA), a key level that often signals the beginning of trend reversals. While bulls managed to hold BTC above the $85K mark, the price is still trading below the 200-day simple moving average (SMA), currently sitting around $87,500. This level has become a strong resistance zone, and until it’s decisively breached, Bitcoin remains vulnerable to another sharp move downward.

BTC trading below the 200-day MA | Source: BTCUSDT chart on TradingView

The broader market environment remains uncertain, and momentum appears to be weakening. Despite last week’s bounce triggered by the 90-day tariff pause announcement, follow-through buying has not been strong enough to reclaim higher supply zones. A decisive move above $90,000 is essential to confirm a bullish trend continuation and invalidate the current consolidation range.

If bulls fail to generate enough strength to reclaim that level, a deeper retracement could follow. The key support remains at $81K, but if that fails, BTC could revisit the $75K region—a level that previously acted as a short-term bottom during last month’s correction. For now, traders are closely watching for a breakout or breakdown, as Bitcoin teeters at a critical inflection point.

Featured image from Dall-E, chart from TradingView 



from Bitcoinist.com https://ift.tt/Q37fchN
Labels:

Comments

Post a Comment

Popular posts from this blog

Bitcoin ETFs Post Second Straight Week Of $500 Million Outflow — Details

The US-based spot Bitcoin ETFs (exchange-traded funds) recorded their second consecutive week of significant outflows over the last five-day trading period. This recent run of disappointing performances reflects the ongoing shift in investor sentiment in the United States. Over the past year, strong inflows into the US Bitcoin ETF market have constantly been associated with positive action for the BTC price. Fittingly, the price of Bitcoin has been consolidating over the past few weeks, struggling to pick up any real momentum. Bitcoin ETFs Record Fourth Consecutive Outflow Day According to the latest market data , the US Bitcoin ETFs registered a total daily outflow of $62.77 million on Friday, February 21. This latest round of withdrawals marked the fourth straight day (and the eighth day in the last nine trading days) that the crypto-based products would witness a net capital outflow. The Grayscale Bitcoin Trust (with the ticker GBTC) accounted for a larger percentage of Friday’...
Post a Comment
Read more

Bitcoin Remains Range-Bound As Volatility Declines – Analyst Explains Price Action

Bitcoin has experienced frustrating price action in recent weeks, leaving investors impatient about its short-term direction. The price has been testing crucial supply levels between $98K and $100K, struggling to break out as uncertainty dominates the market. The lack of a clear move has led to speculation about whether BTC is preparing for a breakout or another correction. Adding to the uncertainty, the market was hit by negative news on Friday when crypto exchange Bybit was hacked, resulting in the theft of $1.4 billion in ETH. The incident caused fear and volatility, briefly dragging prices lower. However, Bybit responded quickly to reassure investors, easing some of the initial panic and stabilizing the market. Despite this, Bitcoin continues to consolidate in a tight range. Crypto expert Daan shared an analysis on X, noting that BTC is still ranging while volatility is steadily decreasing. As price compression increases, traders are on high alert for a potential explosive move....
Post a Comment
Read more

OpenSea Dodges A Bullet As SEC Drops Investigation—Details

In a move that many in the crypto industry view as a positive signal, the US Securities and Exchange Commission (SEC) has officially discontinued its investigation into OpenSea, the leading NFT marketplace. This decision concludes months of uncertainty regarding the regulatory status of NFTs and their classification under US securities laws. SEC Decision Signals A Shift On February 21, 2025, Devin Finzer, the CEO and co-founder of OpenSea, said the SEC will not take any enforcement action against the firm. This comes following the August 2024 Wells Notice to OpenSea issued by the SEC, which indicated the possibility of legal action on alleged unregistered securities offenses. The outcome of this case suggests a possible shift in the way authorities handle NFTs, therefore affecting the whole scene of digital assets. For the industry, this outcome has been seen as a major turning point. Though they are in rivalry with OpenSea, Chris Akhavan, the Chief Business Officer of Magic Eden,...
Post a Comment
Read more