$80K support holds as BTC rejects $87K supply zone, miner reserves decline

Bitcoin is currently trading above the $80K level following another rejection from the $87K supply area, which has placed strain on the middle-channel support. This recent dip compels the market to assess whether the wider recovery pattern can endure or if a more significant downturn is emerging.

Examining the daily chart for Bitcoin, the asset continues to operate within an expansive upward channel that has guided the recovery since the lows seen in June. Nevertheless, momentum has weakened due to repeated instances of rejection near the upper limit, which sits around $87K, within the $85.5K–$90K supply zone, subsequently pushing BTC back toward the channel's midpoint. The asset is presently testing the midline at approximately $80K, a crucial support level. Buyers are making efforts to maintain this level, but the resulting upward movements have been modest, and since late September, the market has established a pattern of successively lower highs. A move toward $85K would signal the first sign of strengthening. Should the midline fail on a conclusive daily close, the next area of interest becomes the $75K–$78K demand zone, which constitutes the order block that started the substantial August climb. Below this zone, the lower boundary of the channel, near $73K, represents the ultimate major support within this pattern and the final defense line for buyers against a renewed bearish market.

The 4-hour chart reveals a more pronounced deterioration. After being unable to surpass $87K, Bitcoin began forming lower highs, with the most recent upward movement halting and reversing from the $85K vicinity. Subsequently, the price has dropped below the lower boundary of the short-term ascending channel that supported the advance since mid-September. BTC is now positioned around the $80K zone after retesting the trendline that was previously broken from beneath. A failure to regain $81K would imply that the former support has transformed into resistance. Conversely, a successful move upward could aim for the $84K supply area, followed by the $87K resistance, which capped the recent rallies. On the downside, a definitive breach under the recent low near $79K would expose the wider $75K demand zone. This region serves as the foundation of the September rally and is a significant order block. At this moment, the short-term structure leans toward prudence while the price remains below the broken channel.

The Miner Reserve indicator, which tracks the total BTC held in miner wallets on CryptoQuant, is informative: rising reserves suggest accumulation by miners, whereas falling reserves point to distribution, which can introduce selling pressure into the market. The chart illustrates the 30-day EMA of the reserve declining from roughly 2M BTC in early 2025 to about 1.1925M BTC currently. This consistent downward trend continued even as Bitcoin approached the $120K range, suggesting that miners kept selling into periods of strength. More recently, the reserve experienced a sharp drop from mid-2026 before settling near its present level, showing only a slight recovery. However, this decline does not unilaterally confirm a bearish trend, given that miners also liquidate coins to cover operational expenses. Nevertheless, the lack of a discernible recovery in reserves contributes to a cautious outlook as BTC defends the $80K region. The article titled "Bitcoin Price Analysis: BTC Clings to $80K Support — Is a Deeper Correction Looming?" was initially published on CryptoPotato.