Bitcoin spent most of December trading steadily between $85,000 and $90,000, after the sharp corrections seen earlier in Q4 2025. As the new year began, the cryptocurrency once again tested the established resistance level around $90,500, though a sense of uncertainty still lingers in the market.
In a post on X on January 2, analyst Burak Kesmeci shared his perspective on Bitcoin’s positive start to 2026. The cryptocurrency has risen nearly 4% since the start of the year. Kesmeci pointed out that during this period of mild optimism, Coinbase premiums for both Bitcoin and Ethereum have risen, indicating that recent price gains are being driven significantly by U.S. investors.
The Coinbase premium measures the difference in an asset’s price on Coinbase compared to other exchanges, serving as an indicator of U.S. investor sentiment. Despite the price increase, Kesmeci noted that these premiums remain negative, suggesting that many U.S. investors are still cautious.
Looking ahead, Kesmeci highlighted key levels to watch for Bitcoin’s price direction. For a short-term bullish trend to take hold, he believes Bitcoin needs to hold above its 50-day simple moving average (SMA50), currently at $89,415, for at least the next two days. Falling below this level would signal that the current consolidation phase is continuing.
For a longer-term bullish trend to develop, Kesmeci identifies $101,000 as a critical level. This price represents the intersection of the SMA365 and SMA111 and acts as a major psychological and technical resistance. A clear break above $101,000 could signal a return to a bullish structure for Bitcoin, following the extended correction in late 2025.
At the time of writing, Bitcoin is trading at $89,520, up 0.85% over the past 24 hours. Daily trading volume has surged by 11,471%, reflecting heightened market activity. Bitcoin’s market capitalization now stands at $1.79 trillion, accounting for 58.6% of the total crypto market.
Frequently Asked Questions
FAQs Bitcoin Bulls Could Regain Control if Price Closes Above This Key Level
Beginner Questions
1 What does this headline even mean
It means a financial analyst is predicting that if Bitcoins price ends a trading day above a specific price point it could signal a shift in momentum Bulls are investors who expect prices to rise so they would be back in charge of the markets direction
2 Who are the bulls and bears
Bulls are traders who believe an assets price will go up and often buy or hold Bears believe the price will fall and may sell or bet against it Its a shorthand for market sentiment
3 What is a key level in trading
A key level is a specific price point that traders watch closely Its often a previous high or low a round number or a level identified by technical analysis Breaking above or below it can trigger more buying or selling
4 Why is the closing price so important
The closing price is the final price of an asset in a trading session Analysts view it as more significant than intraday prices because it reflects the consensus after all trading activity making a sustained break above a level more meaningful
5 Is this a guarantee that Bitcoin will go up
No it is not a guarantee Its an analysts interpretation based on technical analysis While it can indicate a higher probability of a rally many external factors can override this signal
Intermediate Strategy Questions
6 What key level is the analyst likely referring to
While the exact level isnt in the headline analysts often refer to major psychological levels or important technical resistance levels from charts such as the previous alltime high or a key moving average
7 What happens if Bitcoin closes below that key level
If it fails to close above and instead falls below it could be seen as a rejection This might give bears more control potentially leading to a price drop or a period of consolidation