Bitcoin USD Retreats Below $94K as Liquidations Exceed $477M

Bitcoin USD (BTCUSD) is experiencing a pullback after failing to sustain momentum above $95,000. As of January 9, 2026, the cryptocurrency trades at $93,870.06, down 0.79% over the past 24 hours despite a 2.84% gain earlier in the week. The broader crypto market has cooled significantly, with total liquidations exceeding $477 million as traders unwind leveraged positions. Market data shows Bitcoin’s year-to-date performance remains positive at 11.39%, but the recent rejection at resistance levels has sparked debate about whether the early-year rally can recover. Understanding the technical setup and market dynamics behind this pullback is essential for tracking Bitcoin’s next major move.

Why Is Bitcoin USD Retreating From $95K Resistance?

Bitcoin USD’s inability to break past $95,000 marks a critical inflection point for the cryptocurrency. The rally that began in early January reached a local peak of $94,825.27 intraday before sellers stepped in aggressively. Trading firms attribute this pullback to profit-taking after the initial surge, with many participants locking in gains from the year-to-date rally.

Liquidation data reveals the severity of the pullback. Over $477 million in positions were liquidated in the past 24 hours alone, indicating that leveraged traders were caught off-guard by the selling pressure. This cascade of forced selling often accelerates downward moves, creating a self-reinforcing cycle that pushes prices lower until support levels stabilize the market.

Bitcoin USD Technical Analysis

The technical picture for Bitcoin USD shows mixed signals with some concerning elements. The Relative Strength Index (RSI) sits at 50.61, indicating neutral momentum with no overbought or oversold conditions. This neutral reading suggests the market lacks conviction in either direction, which often precedes larger moves.

The Average Directional Index (ADX) registers at 27.93, confirming a strong trend is in place. However, the MACD histogram shows 882.33, with the signal line at -1,165.39, suggesting bearish momentum is building. Bitcoin USD is currently trading above the Bollinger Bands middle line at $88,704.95 but below the upper band at $93,194.40, indicating room for either direction. Support levels are established at $84,215.51 (lower Bollinger Band) and $83,459.51 (Keltner Channel lower band).

Bitcoin USD Price Forecast

Bitcoin USD faces multiple price targets across different timeframes based on current technical conditions and market structure. The monthly forecast projects a move to $95,858.57, representing a 2.13% gain from current levels if buying pressure returns. This target aligns with the resistance zone that rejected price action this week.

The quarterly forecast is significantly more bullish, targeting $135,658.38, which would represent a 44.46% increase from today’s price. This substantial move would require sustained buying pressure and a break above the $95,000 resistance zone. The yearly forecast is more conservative at $93,717.01, suggesting a modest -0.16% decline from current levels, indicating potential consolidation through 2026. Forecasts may change due to market conditions, regulations, or unexpected events.

Market Sentiment and Trading Activity

Market sentiment has shifted from optimistic to cautious as Bitcoin USD failed to establish new highs. Trading volume remains elevated at $53.38 billion in the past 24 hours, though this is below the 90-day average of $60.94 billion, suggesting some participants are stepping back from the market.

Liquidation activity tells the story of aggressive positioning unwinding. The $477 million in liquidations represents a significant purge of leveraged long positions, which typically occurs when price breaks below key support levels or when traders face margin calls. This liquidation cascade often creates a floor as forced sellers exhaust their positions, potentially setting up a bounce. The Money Flow Index (MFI) at 58.73 indicates moderate buying pressure, though not yet at levels suggesting strong accumulation.

Bitcoin USD News and Regulatory Developments

Recent regulatory developments have added complexity to Bitcoin USD’s price action. Morgan Stanley filed for Bitcoin and Solana ETF registrations, signaling institutional interest despite the current pullback. This filing suggests major financial institutions remain committed to crypto infrastructure expansion, even as short-term price weakness persists.

Additionally, Florida lawmakers renewed efforts to establish a state Bitcoin reserve through HB 1039, demonstrating ongoing government interest in Bitcoin as a strategic asset. These developments provide long-term support for Bitcoin USD’s narrative, though they have not prevented the current technical correction. South Korea’s Supreme Court also affirmed that Bitcoin on exchanges can be seized during criminal investigations, adding regulatory clarity to the market.

What’s Next for Bitcoin USD After the Pullback?

The path forward for Bitcoin USD depends on whether support levels hold or break further. If the $91,479.28 day low is defended, a bounce toward $95,000 becomes likely as traders reassess their positions. The 50-day moving average at $89,211.16 provides an intermediate support zone that has historically attracted buyers.

If selling pressure intensifies and breaks below the 50-day average, the 200-day moving average at $106,546.70 becomes the next reference point for longer-term trend assessment. The Awesome Oscillator reading of 2,122.48 suggests momentum is still present, but the negative MACD signal indicates caution. Traders should monitor the $91,000 level closely, as a break below this support could trigger additional liquidations and accelerate the downside move.

Final Thoughts

Bitcoin USD’s retreat from $95,000 reflects a natural consolidation after the early-year rally, not a fundamental breakdown in the cryptocurrency’s long-term thesis. The pullback has cleared out overleveraged positions and created a healthier market structure for the next leg higher. Technical indicators show mixed signals, with RSI at neutral levels and ADX confirming trend strength, but MACD suggesting bearish momentum in the short term.

The $91,000 support level is critical to monitor, as a break below this zone could trigger further downside toward the 50-day moving average. Conversely, if buyers defend this level, a retest of $95,000 becomes probable within the next few weeks. Institutional interest remains strong, as evidenced by Morgan Stanley’s ETF filings and Florida’s Bitcoin reserve initiative, providing fundamental support beneath the technical weakness. Bitcoin USD’s market cap of $1.79 trillion and year-to-date gain of 11.39% demonstrate the cryptocurrency’s resilience despite short-term volatility. Traders should focus on volume patterns and liquidation levels to identify the next directional catalyst.

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Disclaimer:

Cryptocurrency markets are highly volatile. This content is for informational purposes only. The Forecast Prediction Model is provided for informational purposes only and should not be considered financial advice. Meyka AI PTY LTD provides market data and sentiment analysis, not financial advice. Always do your own research and consider consulting a licensed financial advisor before making investment decisions.