Bitcoin’s Rally Near $90,000 Stalls Amid Weak Demand Signals

Bitcoin’s attempt to close the year near $90,000 has shown signs of stalling, weighed down by fading demand and weak onchain activity. While price action remains capped below key resistance, technical indicators suggest that momentum could accelerate if BTC decisively breaks above the $90,000 level.

Demand Recovery Seen as Critical for a New Year Rally

For Bitcoin to mount a sustainable rally into 2026, apparent demand and buying pressure from US-based investors need to recover. Without renewed demand, upside attempts are likely to remain fragile and vulnerable to further pullbacks.

Bitcoin Apparent Demand Turns Negative

Bitcoin’s apparent demand has flipped negative for the first time since October, reflecting a shift toward risk-off behavior among traders and investors heading into the new year. Data from Capriole Investments shows the metric falling sharply over the past two weeks to minus 3,491 BTC, a level last recorded on Oct. 21.

Sharp Reversal Follows Strong November Demand

Apparent demand had remained positive since Nov. 6, peaking near 18,700 BTC on Nov. 26, before reversing aggressively. The current negative reading points to a meaningful decline in buying interest across the market.

US Investor Demand Weakens Further

Bitcoin’s Coinbase Premium Index, which tracks price differences between Coinbase and Binance, has also dropped significantly over the last two weeks. The index has fallen to minus 0.08 from 0.031 recorded on Dec. 11, signaling increased selling pressure from US-based participants.

Persistent Selling Pressure Raises Caution

Analysts note that the deeply negative Coinbase premium suggests US selling pressure has yet to ease. Until this metric recovers, market participants warn that long positions carry elevated risk despite bullish technical patterns.

Spot Bitcoin ETF Outflows Reinforce Risk-Off Sentiment

Institutional caution remains evident as spot Bitcoin ETFs recorded approximately $782 million in outflows last week. The continued bleeding from ETFs highlights subdued risk appetite among large investors and adds pressure to Bitcoin’s near-term outlook.

$90,000 Identified as the Key Breakout Level

Bitcoin is currently trading about 6.6% below its yearly open near $93,300, putting it at risk of recording its first post-halving red year. Bulls now face the critical task of reclaiming the $90,000 resistance zone, which served as strong support earlier in December.

Repeated Rejections Underscore Strong Resistance

Since Dec. 15, Bitcoin has been rejected four times near the $90,000 level, reinforcing it as a major technical barrier. Despite these failures, the price continues to hold above support around $84,000, keeping the broader bullish structure intact.

Reclaiming the $90,000–$92,000 Zone Could Revive Momentum

As long as support near $84,000 holds, analysts expect momentum to return once Bitcoin breaks back into the $90,000–$92,000 range. A successful reclaim of this zone could open the door for renewed upside heading into 2026.

Monthly Chart Signals a Potential Bullish Divergence

On higher timeframes, some analysts point to a possible hidden bullish divergence on the monthly chart. A green monthly close above approximately $90,360 is viewed as a critical confirmation level that could validate the bullish setup.

Technical Breakout Could Target Six-Figure Prices

Additional analysis shows that the $90,000 level aligns with the upper trendline of a descending broadening wedge on the eight-hour chart. A confirmed breakout from this structure could trigger a powerful rally, with technical targets extending toward the $122,000 area.