Bitcoin Faces Selling Pressure in 2025: Will It Maintain $95,000?
Bitcoin begins 2025 under significant selling pressure from US investors, with concerns over its ability to maintain a price above $95,000. The Bitcoin Coinbase Premium Index has declined sharply, reflecting ongoing sell-offs. Key indicators such as Daily Active Addresses divergence suggest bearish trends, with predictions indicating potential drops below $90,000 unless buying pressure increases.
As the year 2025 commences, it appears to be a promising time for investors in the cryptocurrency sector. However, Bitcoin (BTC) has encountered substantial selling pressure from United States investors right from the outset, which raises questions regarding its capacity to maintain its value above the crucial threshold of $95,000. BeInCrypto’s analysis utilizes significant indicators to provide a short-term price forecast for Bitcoin.
Concerns have arisen about Bitcoin’s capacity to sustain an upward trend, given the stark decline in the Bitcoin Coinbase Premium Index, which has plummeted from a high of 0.14 following the November 2024 US elections to a troubling low of -0.22. This shift reveals that US investors have been predominantly selling their holdings rather than acquiring new ones. Despite a nominal increase of 2.06% in Bitcoin’s price to $95,318, ongoing sales could prompt a downward price movement.
Crypto analyst Burak Kesmeci commented on the current situation, indicating the potential difficulty for Bitcoin to recover in the short term. “Such trends can create a challenging environment for Bitcoin’s short-term price recovery unless we see a shift in macroeconomic conditions or renewed interest from institutional or retail buyers,” noted Kesmeci via CryptoQuant.
Another indicator of this bearish sentiment is the Daily Active Addresses (DAA) divergence relative to Bitcoin’s price. With a DAA divergence down to 231%, it suggests declining user engagement, further supporting the likelihood of Bitcoin trading below the $95,000 mark.
The Exponential Moving Average (EMA) also highlights a bearish trend, as Bitcoin’s current price remains below the 20 EMA. Should pressure from sellers continue to rise, predictions suggest a possible drop to $85,851. Conversely, if buying pressure resumes among US investors, Bitcoin may potentially reach as high as $108,398 depending on market dynamics.
Bitcoin, the leading cryptocurrency, continues to capture the attention of both retail and institutional investors, particularly as the market anticipates bullish developments in 2025. Nevertheless, the start of the year has not been favorable, characterized by significant selling pressure from US investors, which poses a challenge to Bitcoin’s ability to hold above critical price levels. The analysis provided hinges on various market indicators that reflect investor sentiment and price trends, fundamental for evaluating Bitcoin’s short-term performance.
In summary, the initial trading day of 2025 has shown Bitcoin facing substantial selling pressure from US investors, raising doubts about its ability to maintain a price above $95,000. Key indicators, including the Bitcoin Coinbase Premium Index and Daily Active Addresses divergence, signal a bearish outlook. Still, should market conditions improve and investor sentiment shift positively, there exists potential for Bitcoin to recover and perhaps even reach higher trading levels.
Original Source: beincrypto.com
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