Bitcoin (BTC) has seen a reversal in its recent gains, unable to break the $85,000 barrier as selling pressure from long-term holders intensified. The cryptocurrency peaked at $84,450 before dipping back below $83,000 during the US trading session.
The backdrop of rising US bond yields, which reached multidecade highs, has weighed heavily on Bitcoin and other asset classes. The 30-year yield surpassed 5.60%, while the 10-year yield approached levels last seen in 2002, creating a cautious environment for investors.
On the technical front, data from CoinGlass indicates significant overhead resistance at $85,000, with a concentration of long-term holder supply around this price point. This clustering suggests potential profit-taking if Bitcoin attempts to breach this level.
Market analysts highlight that Bitcoin’s current price action reflects a broader trend influenced by economic data and geopolitical uncertainties. As the Federal Reserve prepares for potential interest rate hikes, the market remains on edge, impacting investor sentiment across various sectors.
For Bitcoin to maintain a bullish trajectory, it must decisively break through the $85,000 resistance and hold above this threshold, as noted by on-chain analytics platform Glassnode.