Bitcoin's Week Begins Below Key Levels as Market Awaits Direction

Bitcoin starts the new week trading below key technical and on-chain levels, with BTC hovering around $87,700 at the time of writing. The market extends the turbulent conditions that defined the weekend after failing to reclaim higher resistance zones near $92,000 late last week.

Moreover, price action over the weekend was visibly muted. Volatility compressed, follow-through buying failed to materialize above $90,000, and downside probes toward the $86,000 – $85,500 region were met with consistent dip demand.

Therefore, this behavior might suggest neither bulls nor bears were willing to commit aggressively in either direction ahead of the trading week.

As Monday opens, Bitcoin sits in a fragile position, caught between weakening short-term momentum and a higher time-frame support that’s still intact.

Weekend Recap Signals Cautious Participation

On the daily chart, Bitcoin continues to trade below prior range highs. With multiple rejection wicks confirming overhead supply between $92,000 and $96,000.

Additionally, attempts to recover short-term moving averages were unsuccessful. Therefore, the price got capped below levels that had previously acted as support in late 2025.

From a weekly structure perspective, while BTC remains well above long-term cycle support near $74,000, the recent pullback from highs above $120,000 shifted momentum lower.

Indeed, the price is now hovering closer to its mid-range. Preserving the broader uptrend while weakening short-term conviction.

On the other hand, the number of active Bitcoin addresses remained elevated near recent averages. However, it failed to expand meaningfully over the weekend, signaling steady network usage.

At the same time, exchange netflows leaned slightly negative. Several days showed net outflows, indicating that large holders were not rushing to deposit coins for immediate selling.

*Bitcoin exchange netflows remain slightly negative, suggesting reduced immediate sell pressure as large holders keep supply off exchanges*.

This New Week’s Outlook

As the week begins, Bitcoin’s next move will likely be dictated by whether spot demand can absorb existing overhead supply between $90,000 and $94,500.

Moreover, a reclaim of this zone would be required to shift momentum back toward continuation. However, failure to do so risks further consolidation or a deeper test of nearby support around $85,000.

Also, liquidity data highlights dense clusters both above and below the current price. Therefore, reinforcing the likelihood of range-driven moves. Additionally, liquidation heatmaps show notable leverage concentrations near $86,000 on the downside and above $90,000 on the upside.

For now, Bitcoin remains in a transition phase. With the weekend confirming a stable structure above key support.

However, it’s still not showing signs of strength, and the early part of the week might be critical for BTC to reassert bullish control.