Bitcoin's Breakout Above $87,000 Puts $90,000 in Sight

Bitcoin's recent breakout above $87,000 has put the price of $90,000 within sight. However, according to Galaxy Research, this trend shift is not guaranteed and comes with a historical catch.

The research examined 13 prior instances of Bitcoin reclaiming the 50-week moving average on a weekly close. Eleven of those reclaims held, with the bear market's low staying in place afterward. In four of five completed bear markets that had previously lost the indicator, that first weekly reclaim marked the definitive bottom.

Nicolai Sondergaard, senior research analyst at Nansen, points to a specific gap behind the rally. Large Bitcoin traders on Hyperliquid remained net short even as price broke higher, and on-chain data showed more Bitcoin flowing into exchanges than out of them over the two days surrounding the move.

The next test for Bitcoin's breakout will be around $85,000, which Sondergaard wants to see hold as genuine support through repeated tests. Above that, $87,000 becomes a retest level, with $90,000 standing as the next psychological marker and $92,000 as a further resistance zone.