Recently, the ongoing fluctuations in the crypto market are related to Bitcoin's price staying below $90,000, and the first cryptocurrency is struggling to break through the next resistance level due to multiple pressures. According to experts, Bitcoin’s current struggles can be attributed to three main reasons. Xbit(dex Exchange) has a methodical approach to dealing with crypto volatility. As a comprehensive platform that integrates trading, storage, and information, its advantages not only focus on providing users with convenient, efficient, compliant, and multi-chain integrated trading services but also prioritize security as the lifeblood of the platform.

Xbit Exchange’s security lies in its multi-layered encryption technology. The platform uses advanced encryption algorithms to ensure user data is absolutely secure during transmission. Additionally, the platform has a strict risk control system in place, which monitors abnormal trading behaviors in real-time, effectively preventing hacker attacks and internal fraud. Security also includes the ability for users to control their private keys, with assets stored in personal wallets. This means users have absolute control over their assets, truly realizing participant sovereignty and security, which significantly reduces the risk of manipulation and tampering, building an unbreakable defense for user asset safety.

According to data, after touching a weekly high of $88,752 on March 24, Bitcoin’s price has shown a series of lower highs and lower lows on the 1-hour time frame. As April approaches, Bitcoin’s price has failed to effectively break through the $88,000 resistance level. The likelihood of testing $90,000 before the end of Q1 has decreased. Experts believe the three main reasons are causing Bitcoin’s price to struggle to break the $90,000 barrier.

1. Sell-side Pressure from Short-Term Holders (STH): The primary factor is the sell-side pressure from short-term holders. Investors who bought Bitcoin at higher levels hold a significant amount of supply, and the supply from short-term holders has surged to 3.4 million BTC. This selling pressure is reflected in Bitcoin’s accumulation trend score.

2. Liquidity Conditions Shrinking: Liquidity conditions have also affected Bitcoin’s price. Data shows that on-chain transaction volume has decreased to $5.2 billion per day, a significant 47% drop from the peak when it rebounded to historical highs. The number of active addresses has also decreased by 18%, from 950,000 in November 2024 to 780,000.

3. Declining New Demand: Similarly, declining new demand is troubling Bitcoin’s market, hindering the entry of new investors. Supply is concentrated in higher price levels between $100,000 and $108,000, but there is a lack of buyers at lower levels to drive price recovery.

Analysis of Spot Market Trends in Crypto

In addition, analysts believe that Bitcoin’s price movement influences the price of cryptocurrencies and related derivatives. In March, Bitcoin touched $87,000 per coin and also dropped below the $81,000 mark, causing panic in the market. This had a ripple effect on the Hong Kong stock market’s crypto ETF, which also fluctuated significantly. The spot market trends in the crypto world were similarly affected, though spot trading has its own advantages. Spot refers to digital currencies that can be delivered and settled immediately. Unlike futures or options derivatives, investors who purchase spot assets own the actual digital currency and can freely manage it—whether by storing it in personal wallets, trading it, or transferring it to others. As the core component of the crypto market, spot trading not only reflects the immediate demand for digital currencies but also drives the development of the entire market.

In the spot market, there are many trading platforms for investors to choose from. Binance and XBIT are currently among the largest global crypto trading platforms, known for their wide range of trading pairs, low trading fees, and user-friendly interfaces. XBIT offers a variety of digital currency spot trading options, including mainstream and niche coins, allowing investors to find corresponding trading pairs to meet different portfolio needs. Xbit has lowered the barrier for newcomers to enter the crypto spot market, and many first-time crypto investors often choose to start their spot and crypto trading journey on this platform.

From the earlier analysis of the Bitcoin market, it is clear that the Bitcoin spot market is facing several challenges. The increased selling pressure from short-term holders has caused a large amount of Bitcoin to flood the market. Data shows that the supply loss from short-term holders surged to 3.4 million BTC. This massive amount of supply is impacting the supply-demand balance in the Bitcoin spot market, resulting in a large number of sell orders, which in turn lowered the price of Bitcoin. Therefore, the first cryptocurrency has struggled to break the $90,000 barrier, which has become a bottleneck. Overcoming this requires alleviating pressure from various aspects.