Bitcoin’s trading remained largely stable around the $87,000 mark leading into the final weekend of 2025, as investors exhibited caution amid thin liquidity and a bout of tax-related selling. Recent data from Coinglass indicated that approximately 93,477 traders faced liquidation over the past 24 hours, resulting in losses totaling $244.46 million. This development underscores the fragile state of the market as participants navigate the complex landscape of trading dynamics.
In terms of inflows and outflows, SoSoValue reported a significant net outflow of $175.3 million from spot Bitcoin Exchange-Traded Funds (ETFs) on Wednesday. Meanwhile, spot Ethereum ETFs experienced net outflows amounting to $52.7 million, highlighting a broader trend of investor apprehension.
Prominent trader Michael van de Poppe emphasized the importance of the 20-month moving average for Bitcoin as a pivotal technical level. A monthly close above this threshold, particularly above the $90,000 mark, could signal bullish momentum and pave the way for a more robust start to 2026, with potential upside targets projected between $105,000 and $110,000.
Conversely, trader ShardiB2 reflected on the current market’s sluggishness, attributing the stalled “Santa rally” to both tax-loss selling and diminished holiday liquidity. As Bitcoin stands out as one of the few major assets experiencing a decline this year, investors who have realized gains in other markets are reportedly liquidating their Bitcoin holdings to mitigate tax obligations. This selling pressure has intensified, with $85,200 identified as a key support level. A consistent decline below this point could lead to further losses.
In a more optimistic view, trader Nebraskangooner noted a positive shift in Bitcoin’s monthly trend indicator, which has flipped bullish for the first time since March 2023. This flip suggests that despite recent volatility, the broader trend may be improving, indicating potential for a more favorable outlook in the longer term.
As the cryptocurrency landscape continues to evolve, investors are navigating a complex array of factors, from market positioning to tax implications, as they assess future opportunities and risks in Bitcoin trading.
