Bitcoin rallies to ~$90K then plunges toward $85K as liquidations and heavy ETF outflows pressure markets

first published 2025-12-17T08:39:41Z

BTC has tightened near $87,000, forming higher lows in the $87.5K–$88.3K area and losing volatility. A decisive close above ~$88.3–89K is likely to open a liquidity-driven move toward $90K–$92K; failure could test support near $85.6K and threaten trend if daily close falls to $84.3K. On-chain and derivatives data (futures OI ~ $60B, neutral funding, long-term holder behavior) point to accumulation, while rising unemployment, ETF flows and controlled leverage reduce signs of capitulation.

AI Analysis

Price is compressed around $87K with higher lows at $87.5K–$88.3K; the piece defines a clear breakout threshold (~$88.3–89K) and target ($90K–$92K) and specific downside levels ($85.6K, $84.3K). On-chain/derivatives facts cited: futures open interest near ~$60B, neutral funding, and long-term holder supply/wallet behavior indicating accumulation. Macro (rising unemployment), ETF flows, and controlled leverage are noted as reducing capitulation risk. These are concrete, trade-relevant facts in the summary.

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