Bitcoin Finds Its Footing as Accumulation Phase Emerges

Following October's sharp correction, Bitcoin is gradually emerging from its period of volatility. Signs of a quiet redistribution are now dominating over panic selling, as short-term traders exit and long-term focused addresses build their positions. One critical factor stands out: the closely watched support level around $80,000 has held firm.

A clear change in market structure is visible through on-chain data, running parallel to the price action.

Network Activity Surges. Despite the price correction, usage of the Bitcoin network has increased significantly. The 30-day exponential moving average (EMA) of transferred coins recently climbed to approximately 955,000 BTC—the highest level in six months. Notably, this rise coincided with the period when the price was seeking a bottom between $80,000 and $84,000. Historically, such a spike in on-chain volume at lower price levels is often interpreted as a sign of aggressive accumulation, suggesting strategic buying amid broader market weakness.

Whale Selling Pressure Eases. Concurrently, selling pressure from large addresses has diminished noticeably. The proportion of deposits from "whales" (addresses holding more than 1,000 BTC) to exchanges has fallen from about 47% in mid-November to just 21% as of the recent weekend. Reduced whale inflows to trading platforms typically mean fewer large holdings are potentially available for sale, removing a key source of additional supply pressure and helping to explain the stabilization above $80,000.

Capitulation Signals. Metrics on realized losses further indicate that large addresses have realized roughly $3.2 billion in losses since mid-November. Such capitulation phases frequently mark a later trend reversal, as investors unwilling to endure further volatility sell their coins to buyers with stronger conviction. Collectively, the on-chain data paints a picture of a market in a late correction or early accumulation stage.

Technical Perspective: The $80,000 Support Zone

After reaching a high near $126,000 in October, Bitcoin declined significantly in November, marking a local low around $80,000 on November 21. Since then, the market has traded in a relatively sideways pattern with a narrow range.

The current price of just over $92,000 represents a noticeable distance of nearly 26% from the 52-week high but remains well above the low of the past twelve months. Bitcoin is also trading about 5% below its 50-day moving average, pointing to a continuing consolidation phase.

Should investors sell immediately? Or is it worth buying Bitcoin?

From a market perspective, the zone around $80,000 has proven to be a sustainable floor. Analysts identify this as a "confluence support" area, where the level intersects with the 2024 volume-weighted average cost basis and the average entry price for U.S. spot ETFs (around $83,800). Such zones are often viewed as areas where larger addresses are willing to add to their holdings.

Macroeconomic and Regulatory Backdrop

Fed Rate Cut Provides Tailwind. On the macroeconomic front, the U.S. Federal Reserve provided a stimulus this week by cutting its key interest rate by 25 basis points. Markets initially reacted with a typical "sell the news" pattern, but the prevailing view now is that lower financing costs will improve liquidity conditions for 2026. For riskier asset classes like cryptocurrencies, such an environment is fundamentally supportive, provided it is not accompanied by a severe recession.

Regulatory Developments. Two key regulatory developments occurred:
- The U.S. derivatives regulator CFTC is advancing a pilot program for digital assets, including Bitcoin. The aim is to further standardize margin requirements and trade settlement for institutional market participants, which could ease access for professional investors in the medium term.
- Simultaneously, the U.S. Justice Department expanded its indictment against crypto promoter "Bitcoin Rodney" for alleged wire fraud. The market largely shrugged off this news, suggesting investors are increasingly distinguishing between misconduct by individual actors and Bitcoin's underlying technology.

Sentiment and Capital Flows Reflect a Shift

As Bitcoin defends its base, the rest of the crypto market shows a mixed picture. The Total Value Locked (TVL) in the DeFi sector fell by more than 20% in November. Capital clearly flowed out of riskier protocols and apparently back into comparatively "safer" crypto assets like Bitcoin.

Market sentiment has brightened noticeably since late November, moving from "extreme fear" to a neutral or cautiously constructive outlook. Bitcoin's ability to hold the $80,000 level despite profit-taking and macroeconomic uncertainties has particularly strengthened institutional investor confidence. Asset managers like Bitwise consequently maintain a positive scenario for 2026.

Conclusion: A Solid Foundation, But Awaiting a Catalyst

As of Sunday, December 14, 2025, evidence suggests Bitcoin has successfully tested a major structural support floor around $80,000. Declining whale deposits, high network activity, and the absorption of billions in realized losses point to an advanced accumulation phase.

This increases the probability of a medium-term trend reversal to the upside. However, a clear breakout would require a sustained move above the next resistance levels and a continuation of the recently—and only cautiously—improved sentiment. The current period thus remains one of preparation rather than the definitive starting signal for the next rally.