Bitcoin News Today: Bitcoin surges to $90K—Is this a sign of a new cycle or an early warning of another downturn?

Bitcoin Climbs Above $90,000 Amid Market Uncertainty

On Wednesday, Bitcoin rallied past the $90,000 mark, providing some relief to investors after a volatile November that wiped out its gains for 2025. This uptick comes after a steep drop from its October high of $126,000—a 29% decline that raised concerns about a potential bear market. Despite a 3% increase over the past day hinting at a possible recovery, experts warn that uncertainty around institutional participation and Federal Reserve policy continues to weigh on the market.

Major Cryptocurrencies Show Modest Gains

Other leading digital assets also experienced upward movement. Ethereum advanced 3% to reach $3,022, Solana jumped nearly 5% to $143, while XRP and Dogecoin recorded gains of 2% and 3%, respectively. Although the Crypto Fear & Greed Index still reflects "extreme fear," it has edged up from 10 to 15, suggesting a slight improvement in investor sentiment. Over the last 24 hours, liquidations totaled $300 million, with $220 million coming from short positions, indicating a calmer market compared to previous turbulence.

Technical Analysis and Key Levels

Technical signals reveal that Bitcoin is currently testing important support and resistance zones. Analyst Ali Martinez pointed out that the Puell Multiple, which measures miner revenue, is at 0.67—close to levels historically associated with market bottoms when it falls below 0.50. Meanwhile, Michaël van de Poppe noted that if Bitcoin can surpass $92,000 by the end of the month, it may confirm the recent $80,000 low as the cycle’s bottom. However, on-chain data shows Bitcoin is still trading below significant moving averages and faces resistance between $94,000 and $100,000.

Institutional Activity Remains Mixed

Institutional investment flows have been inconsistent. Bitcoin spot ETFs saw $128 million in inflows on Tuesday, following $151 million in outflows the day before. Strategy Inc. (MSTR), a company holding significant Bitcoin reserves, reported that its holdings could cover its convertible debt nearly six times at a Bitcoin price of $74,000, demonstrating resilience even during sharp market corrections.

Macroeconomic Factors and Market Sentiment

The Thanksgiving holiday, which closed U.S. stock markets while crypto trading continued, introduced additional uncertainty. Traders are currently factoring in an 84% probability of a Federal Reserve rate cut in December, though supporting economic data is limited. Analysts, including Nic Puckrin, caution that any upward momentum is fragile and largely dependent on the Fed’s upcoming decisions, which could determine whether the market experiences a year-end rally or further declines.

Outlook: Divergent Predictions for Bitcoin’s Future

Long-term projections for Bitcoin’s trajectory remain split. Some forecasts anticipate a peak of $168,000 in 2025, provided the cryptocurrency can break through the $96,000 resistance and avoid falling below $80,000. On the other hand, a more pessimistic scenario suggests a drop toward $53,489 in early 2026 if support between $70,000 and $75,000 fails to hold.

As the market stands at a crossroads, Bitcoin’s ability to maintain levels above $90,000 will be crucial. With ongoing institutional caution and broader economic factors at play, the coming weeks are likely to determine whether this recent rebound signals a lasting recovery or merely a brief pause in a larger downward trend.