Bitcoin (BTC) briefly dipped below the $92,000 support level on Monday as approximately $440 million in liquidations swept through the market. After reaching a seven-week high near $94,400 on Tuesday, BTC retraced sharply to $91,540 before recovering to trade around $92,670 at the time of writing.
The pullback is largely attributed to profit-taking following the market’s strong rebound from late 2025 lows. BTC has risen nearly 12% from December lows near $84,500, prompting short-term traders to lock in gains. Massive liquidations, particularly of long positions totaling over $288 million in the past 24 hours, intensified selling pressure and accelerated the temporary decline.
Institutional flows and market sentiment
Institutional activity has also influenced price dynamics. Just days after BlackRock’s IBIT ETF recorded the largest inflows in more than three months, Bitcoin ETFs collectively posted net outflows of $243 million over the past day, according to SoSoValue data. Despite these headwinds, BTC’s recovery above $92,000 highlights underlying market resilience. The Crypto Fear and Greed Index remains neutral at 49, suggesting that the recent dip served more as a liquidity reset than a panic-driven sell-off.
Technical outlook: double bottom hints at bullish reversal
On the daily chart, BTC has formed a double bottom pattern, a classic bullish reversal formation that often precedes short-term rallies once the neckline is confirmed. While BTC has yet to sustain a move above the $94,480 neckline, the setup remains technically constructive. Indicators support the recovery narrative: the Aroon Up stands at 85.71%, and the MACD has crossed above zero and is pointing upward, signaling underlying bullish momentum.
A successful breakout above $94,400 could pave the way for a retest of the $99,000 area. Conversely, failure to breach this resistance may trigger a retracement toward the $85,000–$88,000 zone, which previously served as key support during December’s correction.
Near-term outlook
Overall, while short-term volatility remains elevated due to liquidations and profit-taking, the technical setup and stabilizing sentiment suggest that BTC retains its recovery potential. Traders are likely to monitor both resistance near $94,400 and support around $92,000 closely to gauge the next directional move.
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