Despite the increase in STH supply, around 200,000 BTC are held at an unrealized loss, totaling approximately $17 billion, yet there are no signs of panic selling from these holders.

Short-Term Holders (STH) have accumulated 201,743 BTC since the beginning of 2025, raising their total holdings to 5,750,076 BTC, which indicates a cautious re-entry into the market.

However, a rejection at the $89,000 level could lead to increased selling pressure, potentially causing the price to retreat to the $81,500 support zone.

Analysts warn that if Bitcoin fails to break above $90,000, a continuation of the downtrend is likely, while others suggest that the current consolidation may lead to a bullish surge.

Bitcoin is currently trading at $88,200, having reclaimed key technical indicators, but it must break above $89,000 to confirm a bullish breakout and potentially reach $92,000.

As Bitcoin attempts to regain the crucial $90,000 level, the market is experiencing a shift from extreme fear to cautious optimism.

Macroeconomic uncertainty and fears of a trade war are contributing to a cautious market environment, which is affecting sentiment around Bitcoin's price movements.