$BTC Price Rebound: Bitcoin has recovered to approximately $88,000, marking a 1.7% increase in the last 24 hours after finding solid support.
Technicals: The RSI stands at a neutral 53, while the Fear & Greed Index signals "Extreme Fear" at 15, suggesting cautious market sentiment.
Key Catalysts: Strong institutional buying continues, with U.S. firms adding 18,700 BTC in November. Growing expectations of a Federal Reserve rate cut are also boosting the market.
Market Overview
Bitcoin has rebounded to approximately $87,995, a 1.71% gain in 24 hours, after testing lows near $84,500.
The 24-hour trading volume exceeds $73 billion, with a market capitalization over $1.75 trillion and a market dominance of 58.3%.
Despite the recent gain, the asset is on track for its worst monthly performance since 2022 after declining from its October peak near $125,000.
Technical Analysis & Trading Strategy
Key support is established at $84,000, with immediate resistance in the $88,000-$90,000 range; a breakout above $90,000 could confirm bullish momentum.
The hourly RSI is neutral at 53.5, and the 7-hour EMA has crossed above the 25-hour EMA, indicating positive short-term momentum.
The Fear & Greed Index is at 15 ("Extreme Fear"), which historically can signal market bottoms and present contrarian opportunities.
Traders should watch the $84,000 support; a break below could lead to further declines toward $82,000 and $78,000.
Core Driving Factors
Institutional appetite remains strong, with U.S. firms adding 18,700 BTC in November and other companies increasing their holdings.
Rising expectations of a Federal Reserve rate cut in December are boosting market sentiment and improving liquidity outlooks for Bitcoin.
U.S. spot Bitcoin ETFs saw a minor $9.7 million inflow on Nov 24, suggesting that the month's heavy selling pressure might be subsiding.
Favorable regulatory proposals like the "Bitcoin for America Act" are building a foundation for long-term mainstream adoption.