Bitcoin price has tightened as the year comes to an end, placing the market at an important moment. Historically, Bitcoin has never closed a post-halving year in negative territory, which has made the final trading days more significant for investors.
As of December 26, Bitcoin was trading above $90,000, holding a key psychological support level. However, the price remained about 3 percent below the yearly opening level near $93,400, a level closely watched across the market.
The question now is whether Bitcoin can reclaim this level before the yearly close and what that might mean for momentum heading into 2026.
Why the $93,400 Level Matters for Bitcoin
In previous post-halving cycles, Bitcoin often showed renewed strength once it reclaimed its yearly open late in the year. This level has acted as both a technical barrier and a sentiment marker for longer-term trends.
In past instances, failing to move above the yearly open led to short-term pullbacks rather than full trend reversals. Because of this history, traders continue to treat $93,400 as a potential turning point that could trigger stronger price movement.
Price Structure Shows Controlled Consolidation
On lower timeframes, Bitcoin has continued forming higher lows within an ascending channel. This pattern suggests steady accumulation rather than panic selling, even as broader market uncertainty remains.
Momentum indicators support this view. The Relative Strength Index stayed elevated without reaching overbought levels, pointing to ongoing demand. At the same time, the MACD showed tightening conditions, often a sign that a larger move may follow.
Overall, price action reflected balance between buyers and sellers. The market appeared to be waiting for a clear catalyst to break the current compression.
Bitcoin Liquidation Risk Builds on Both Sides
Leverage has increased during this consolidation phase, raising the risk of sharp moves in either direction. A move higher of around 10 percent could trigger roughly $7.8 billion in short liquidations.
On the downside, a similar drop could liquidate close to $6 billion in long positions. This two-sided exposure means that even a modest breakout could quickly accelerate due to forced liquidations.
Such setups have historically led to strong volatility once price escapes a tight range, though the direction still depends on spot market demand.
Coinbase Leads Recent Selling Activity
Recent exchange flow data showed that Coinbase surpassed Binance as the largest source of Bitcoin selling over the past week. This shift may point to increased activity from U.S.-based or institutional participants.
Despite this selling, Bitcoin has continued to hold above $90,000. The market absorbed the supply without breaking down, suggesting that underlying demand remains present.
Whether this selling pressure limits upside or represents healthy rotation is still unclear. As the yearly close approaches, traders remain focused on how Bitcoin behaves around key levels.
