Bitcoin's Remarkable Recovery
Over the past week, Bitcoin has delivered its strongest performance since the dramatic October 10 downturn, which triggered the largest liquidation event in crypto history. The premier cryptocurrency appears to be on a recovery trajectory, surpassing the $90,000 mark on Wednesday, November 26.
Despite recent bear market predictions, optimism has returned among investors hoping for the BTC bull run to resume. However, a prominent on-chain analyst has presented a compelling analysis of Bitcoin's current price outlook.
BTC Price Expected to Consolidate Between $70K-$90K
In a November 28 post on X, CryptoOnchain shared an evaluation of Bitcoin's price action around the $90,000 level. According to the crypto expert, recent on-chain data suggests the market leader faces potential rejection at its current price level.
CryptoOnchain highlighted that Bitcoin lost significant support at $90,000 when it initially dropped to around $80,000 a week ago. Now, BTC is attempting to achieve a sustained close above $90,000 after bouncing back from the Point of Control (POC) near $82,000.
In crypto trading, the Point of Control (POC) represents the price level with the highest trading volume during a specific period. This zone indicates where buyers and sellers are evenly matched, often forming support or resistance levels.
After rebounding from the POC around $82,000, CryptoOnchain stated that Bitcoin has established a "clear" consolidation zone between $70,000 and $90,000. While Bitcoin currently trades above $90,000, the analyst warned of potential rejection.
On-Chain Data Reveals Supply-Demand Imbalance
This conclusion stems from on-chain data showing substantial Bitcoin inflows into Binance, the world's largest crypto exchange by trading volume. According to CryptoQuant, the exchange has received over $2 billion worth of BTC in the past seven days, potentially creating downward price pressure.
Beyond potential selling pressure, there's limited buying power to absorb additional BTC supply that might enter the market from sales. CryptoOnchain noted that net stablecoin inflow on Binance stands at approximately $735 million, indicating constrained potential demand or buying power.
With this "clear supply-demand imbalance," CryptoOnchain concluded that rejection from the $90,000 mark and sideways movement within the $70,000-$90,000 consolidation zone represents the most likely scenario for Bitcoin's price.
Bitcoin Price Overview
As of this writing, Bitcoin's price hovers just above $91,000, showing minimal movement over the past day.
The price of BTC on the daily timeframe | Source: BTCUSDT chart on TradingView
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