Bitcoin Lost 7.5% for the Year; New BTC Price Prediction
Bitcoin is still just below the $90K level but could be surpassing that resistance threshold soon as it ramps up for the new year.
Quick overview
- Bitcoin (BTC) is currently priced below $90,000, having lost 7.5% of its value today and struggling against a strong resistance level.
- Despite being close to the $90K mark, Bitcoin has faced significant bearish resistance and has remained mostly stagnant since mid-November.
- Analysts suggest that Bitcoin's prolonged downturn may be nearing its end, with positive economic indicators potentially setting the stage for a bull run.
- Recent gains in Bitcoin and other major cryptocurrencies could signal the start of a bullish trend, but Bitcoin must first break and hold above the $90K resistance.
Bitcoin (BTC) remains below $90,000 as the year starts, and the coin has lost 7.5% of its value today and remains struggling against a strong resistance level.
Since Boxing Day, Bitcoin has moved very little, making no progress to break through the $90K resistance level and was priced at $89,945 (BTC/USD) on Friday morning. Even though the coin is tantalizingly close to the $90K mark, it has faced extreme bearish resistance there.
BTC/USDIf Bitcoin moves above that key level, it may not be able to hold onto its gains, and that concern has kept investors from buying Bitcoin at regular rates for weeks now. Since the middle of November, Bitcoin’s value has stayed mostly below $90K, which is why there is little hope from the market that this coin will find its footing anytime soon.
An Awful Finish for 2025
As the year closed off, Bitcoin ended around 23% down for the final quarter and nearly 8% for the year. Compare that to the Nasdaq Composite stock index, which finished the year about 19% up from where it started. It is no wonder many investors have given up on cryptocurrency in order to focus on higher performing stocks.
Things do not look good for Bitcoin at this point, but several analysts have predicted that it’s bear run is about to finish up. The lengthy downturn could prove to be a temporary rest period, and Bitcoin may surge in January, as several factors are very positive right now.
For one, inflation is looking better than expected and was clocked at 2.7% in December- much better than the predicted 3.1%. The stock market is also in a good place, with near record highs for the leading three U.S. stock indices. This tells investors that the market is in a safe, strong place, and that creates an excellent launching pad for a bull run for Bitcoin and the wider cryptocurrency market.
The problem is that there is waning interest in crypto coins. The fact that Bitcoin was able to set an all-time high as recently as October should have helped it stay high, but it has not. Instead, Bitcoin is suffering almost as badly as it did when President Donald Trump unleashed a spate of stiff tariffs early in the year. But this time, there is no strong factor to drive Bitcoin down. It simply appears as though the public has lost interest and faith in the coin.
We could be seeing the effects of naysaying analysts on the crypto market. Ethereum (ETH) is also down for the year, having lost 9.48%. Solana (SOL) has it even worse, having lost 36% in 2025. Analysts said for months that tariffs would hurt the market and tank cryptocurrency, but that has not been the case. Now that the stock market is recovered from the impact of tariffs, crypto investors may realize that the economy is thriving and it is safe to invest in crypto again.
At the time of writing, most major crypto tokens are up for the week and are looking bullish today. Bitcoin rose 3.21% on Friday, while Ethereum gained 5.44% and Solana added 5.79%. This might be the beginning of a bullish trend that starts the year off with a clean break from all the naysaying of 2025. If so, then Bitcoin will need to show it can conquer the $90K level.
If it does that and holds onto its gains, we could see a new record high as soon as the end of the month. Investors are likely champing at the bit for a reason to put money down on Bitcoin after the recent prolonged dry spell.
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