Bitcoin climbed nearly 3% from weekend lows after the relative strength index dropped into extreme oversold territory seen only six times in its history. More than $200 million in positions were liquidated as the price stabilized near $86,000. Altcoins including XRP and Zcash posted strong gains during the recovery, with Zcash surging over 14%.

Strategy's stock premium over its bitcoin holdings has compressed to levels last seen during the 2021–2022 bear market, TD Cowen analysis shows. The premium measures how much investors pay above the company's underlying bitcoin value. Despite the decline and anticipated MSCI index removal in February, TD Cowen maintained its buy rating with a $535 price target—nearly 200% above the current share price of approximately $179.

Bitcoin traded at $88,302.53 after cryptocurrency investment funds recorded $1.94 billion in outflows over the past week, data show. The withdrawal marks the third-largest streak since 2018, bringing four-week total outflows to $4.9 billion. Late-week inflows of $258 million suggested early signs of improving sentiment. XRP funds attracted $89.3 million despite a 6.9% price decline, while Bitcoin and Solana funds experienced outflows of $1.27 billion and $156 million respectively.

Bitcoin rebounded above $88,000 but encountered resistance near $89,500 and $90,000. The cryptocurrency trades above $86,000 and its 100-hour moving average, though bearish pressure persists below the $90,000 threshold.

Bitcoin miners face shrinking profit margins after the network hashrate reached a record 1.1 zettahashes per second in October 2025. Hashprice dropped to approximately $35 per PH/s by November, the lowest level in over five years. Payback periods for new mining equipment now exceed 1,200 days as competition for block rewards intensifies.

Long-term Bitcoin holders have sold approximately 1.4 million BTC since March 2024, valued at roughly $121.17 billion, according to Alphractal data. U.S. spot Bitcoin ETFs accumulated around $78.05 billion worth of BTC during the same period. Corporate treasury holdings across 134 entities now total 1.686 million BTC worth approximately $145 billion.

Bitcoin continues trading below $90,000 as 63,000 BTC moved from long-term holder wallets to short-term holders, data show. The transfer reflects a shift in investor behavior, with experienced holders distributing supply while newer participants absorb coins at elevated price levels. Market observers note heightened caution as the asset tests key technical support levels.

Bitcoin fell below $86,000 as a month-long decline continued, marking the weakest market conditions since 2022. BitMEX co-founder Arthur Hayes expects BTC to remain under $90,000 near-term with potential dips into the low $80,000s, though he believes the $80,000 level will hold as support.