Although Bitcoin (BTC) continues to hover around $87,000, recent activity and exchange liquidity metrics show that the market is operating in a period of low participation, limiting its move above $90,000.
Key Path:
Bitcoin traded around 88,000, as network activity fell to an annual low, as selling pressure eased.
Exchange arrivals on Binance and Coinbase have contracted strongly, indicating tight liquidity.
The Bitcoin network loses activity as it matures in value
Cryptocoin’s data points to a slowdown in Bitcoin’s network efficiency. The 30-day moving average of active addresses fell to around 80,807,000, the lowest level in the last year, indicating a decline in both retail users and short-term traders.
Exchange flow behavior reinforces this signal. Deposits and withdrawals on Binance have decreased, with both metrics sitting at annual lows. This slowdown reflects market stagnation.
Low accumulation activity suggests that long-term holders are not rushing to sell, with selling pressure on the side. At the same time, subdued withdrawals indicated that aggressive accumulation had stalled, as investors exercised caution for the time being.
Liquidity is tight as an exchange contract
Meanwhile, exchange inflow value data highlighted how liquidity conditions have changed under stable prices.
On November 24, when bitcoin traded near 88,500, the seven-day cumulative inflow reached $21 billion on Coinbase and $15.3 billion on Binance, reflecting an active position.
As of Dec. 21, BTC was still at 88,500, but Coinbase’s inflows fell nearly 63 percent to $7.8 billion, while Binance’s fell more modestly to $10.3 billion. The shift signals a broad contraction in new liquidity, pointing to easing short-term trading activity and overall tight market conditions.
Related: Are Altcoins Coming Back? Why ‘Bitcoin Season’ Has Staying Power in 2026
This BTC level may define the next move
From a technical perspective, Bitcoin is above the range between ,000 85,000 and ,000 90,000, which has repeatedly failed to sustain a breakout above resistance. BTC price is currently below the monthly volume weighted average price (VWAP) indicator, reinforcing a neutral to cautious bias.
Liquidity clusters on Binance suggest two main magnet zones. On the downside, there is a dense cluster of leveraged long exposures in a buy-side fair value gap (FVG) between 85,800 and 86,500.
A move into this zone would increase the risk of liquidation by more than 60 million long positions, making it a negative liquidity target.
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In contrast, the reverse sell-side FVG is not between $90,600 and $92,000 and exhibits about $70 million in short liquidation. With liquidity clearly defined above and below the price, the near-term direction of Bitcoin will be decided by which side of the range is tapped first.
This article does not contain investment advice or recommendations. Every investment and trading venture involves risk, and readers should do their own research when making a decision. Although we strive to provide accurate and timely information, we do not guarantee the accuracy, completeness or reliability of any information in this article. This article may contain forward-looking statements that are subject to risks and uncertainties. QuintileGraph shall not be liable for any loss or damage arising from your reliance on this information.
This article does not contain investment advice or recommendations. Every investment and trading venture involves risk, and readers should do their own research when making a decision. Although we strive to provide accurate and timely information, we do not guarantee the accuracy, completeness or reliability of any information in this article. This article may contain forward-looking statements that are subject to risks and uncertainties. QuintileGraph shall not be liable for any loss or damage arising from your reliance on this information.
