Bitcoin’s Consolidation Phase Sets Stage for Potential $110K Rally

As Bitcoin navigates a period of consolidation amid heightened market caution, emerging analysis from 10x Research points to the formation of a bullish reversal pattern. Following an extended sell-off through October and November 2025, the cryptocurrency market has exhibited a distinct risk-off sentiment, particularly with a significant $23.6 billion options expiry looming. This environment of trader uncertainty and price stabilization, however, is being interpreted by researchers as the potential precursor to a significant upward move. The key observation is a discernible weakening in sell pressure, which analysts believe could act as the catalyst for a sustained, multi-week recovery rally. The research specifically highlights a technical structure that, if completed, would support a price target approaching $110,000. This outlook suggests that the recent period of pressure and consolidation may be forming a base from which Bitcoin can embark on its next major leg higher, aligning with the long-term bullish thesis held by many professional practitioners in the digital asset space. The convergence of a large options expiry event, which often increases near-term volatility, with the identification of a classic reversal pattern creates a critical juncture for market direction. For investors and traders, the current phase represents a watchful moment where the balance between lingering caution and building technical evidence for a bullish reversal will be resolved. The $110,000 target, derived from this emerging pattern analysis, provides a clear objective that would signify not only a recovery from the recent downtrend but a breakout to new cyclical highs, reinforcing Bitcoin's role as a transformative asset in the future of finance.

Bitcoin Price Outlook: 10x Research Signals Potential Rally Toward $110K

Bitcoin enters a consolidation phase as market sentiment turns risk-off ahead of a $23.6 billion options expiry. The cryptocurrency has weathered an extended sell-off through October and November, with traders exhibiting caution amid lingering uncertainty.

10x Research identifies the makings of a bullish reversal pattern. The emerging structure suggests waning sell pressure could catalyze a multi-week recovery. A sustained uptrend may ultimately propel BTC toward the $110,000 threshold.

The current formation traces back to early October when prices tumbled from near $98,000. Subsequent outflows from spot Bitcoin ETFs—totaling $903 million—exacerbated liquidity constraints and prolonged the downtrend.

Capital rotation remains subdued after persistent weakness. Buyers have been reluctant to intervene despite attractive entry points, with risk aversion prolonging the correction. Technical developments now hint at shifting momentum as bitcoin breaches a multi-year descending trendline.

Bitcoin's 2026 Breakout Scenario Hinges on Defying Cycle Expectations

Bitcoin's price action has entered a paradoxical phase—simultaneously familiar and disorienting. The cryptocurrency trades near $89,000, a figure that WOULD have seemed absurd years ago yet now feels like a retreat after its recent peak above $126,000. This volatility mirrors traditional market sensitivities, with ETF outflows and macroeconomic pressures dragging prices lower.

The real test comes in 2026. If Bitcoin notches a fresh all-time high after its expected 2025 peak, it would shatter the four-year cycle dogma that has governed trader psychology since its inception. Such a breakout would signal more than technical strength—it would redefine Bitcoin's narrative rhythm.

New investors entering through brokerage-held ETFs now share chart-watching duties with OGs who still guard seed phrases like sacred texts. This demographic shift coincides with Bitcoin's deepening correlation to global risk assets—a double-edged sword that grants legitimacy while tethering it to conventional market forces.

Bitcoin Faces Sustained Capital Outflows Despite Fleeting Rebounds

Bitcoin's market continues to bleed capital despite intermittent price recoveries, with on-chain data revealing persistent net outflows. Analyst Axel Adler Jr. notes the trend reflects accelerated loss-taking by investors, overshadowing brief profit-realization windows. Three positive trading days in a five-day span failed to reverse the downward momentum.

Daily net flows remain entrenched in negative territory, signaling broader market uncertainty. The imbalance between sell-side pressure and buying demand suggests weakening conviction among participants. Such conditions historically precede prolonged consolidation phases in crypto markets.

Bitmain Launches Fire Sale on Mining Equipment Amid Market Downturn

Bitmain, the dominant force in ASIC manufacturing, has initiated unprecedented discounts across its product line—including flagship models like the S21—in what appears to be a distress signal for the mining sector. The MOVE coincides with a perfect storm of adverse conditions: Bitcoin's price collapse, plummeting hashprice, and compressed post-halving profitability margins.

The company's aggressive inventory liquidation strategy, offering some bundles at near-zero margins, underscores the severity of the current market contraction. As the industry bellwether, Bitmain's fire sale reflects broader ecosystem pressures where even market leaders face existential cash FLOW challenges.

Bitcoin Whale Sell-Off Halves in December as NVT Signal Hints at 2026 Bull Run

Bitcoin's network value to transactions (NVT) signal has dipped into undervalued territory, historically a precursor to major expansions rather than market tops. Analyst crypto Tice notes this metric reflects fundamental strength lagging price action—a pattern consistent with pre-bull market accumulation phases.

Chart analysis reveals a rhythmic cycle: 47%-93% advances follow stabilization at swing lows, with later cycles showing compressed gains characteristic of maturing bull markets. The higher-low structure remains unbroken, suggesting persistent institutional demand.

Whale activity tells a parallel story. December saw Binance-bound Bitcoin deposits plummet from $7.88 billion to $3.86 billion, per AndrewBTC. This 51% drop in major inflows signals waning sell pressure—a potential inflection point mirroring the NVT's bullish implication.

Bitcoin ETF Flows Show Structural Resilience Despite Headline Volatility

Spot Bitcoin ETFs continue to demonstrate structural demand despite recent outflow headlines. While $175 million exited U.S. products on December 24, the broader picture reveals $113.8 billion in assets under management and $56.9 billion in cumulative net inflows since January 2024.

BlackRock's IBIT alone has absorbed $62 billion, offsetting $25 billion in Grayscale outflows. The current outflow wave represents just 0.1% of total ETF assets—a rounding error in institutional terms.

Globally, crypto ETPs saw a record $5.95 billion weekly inflow in October, with Bitcoin products claiming $3 billion. Market veterans note that custody plumbing and cohort behavior matter more than daily Flow noise.