Bitcoin's $87K Breakthrough Fails as $1B in STH Profits Weighs on Price
Bitcoin's recent attempt to break through the $87,100 resistance level has failed, and the price has pulled back to around $83,800. Despite this decline, the broader recovery structure remains intact, with Bitcoin holding above the $82,900-$83,000 range floor.
The Relative Strength Index (RSI) has fallen from overbought levels to 52, indicating a loss of momentum rather than a full reversal of the September rally. The price is now testing whether buying interest can hold the cost basis zone near $84,000, $86,500.
However, if Bitcoin loses this zone, it would weaken the recovery and expose $80,000, increasing downside pressure. On the other hand, maintaining this zone could create conditions favorable for another test of resistance at $87,100.
The rise in Short-Term Holder (STH) profits to approximately $1.05 billion is also putting pressure on the price, as these holders now have a strong incentive to sell their coins. This increased selling pressure reinforces the need for strong demand to support Bitcoin's recovery.