#BinanceABCs 📊 Market Overview | Bitcoin Stuck in the 86,000 Range, Japan's Monetary Policy Sparks Underlying Currents



Recently, the market has been a bit awkward — Bitcoin is oscillating around 86,000, with little strength in the rebound. Ethereum is even worse, still under pressure. The panic index has soared to 18 (extreme panic range), and the market is showing a pattern of shrinking volume and consolidation. No one knows where it’s headed. Simply put: weakness in the decline, difficulty in rising.

😰 The Truth About Market Sentiment | This is not panic selling, but a more dangerous state

The current situation is actually more subtle. Funds are on the sidelines, and trading activity continues to decline. Bulls dare not add positions, bears are not chasing to sell, and retail investors’ mindset is almost “whatever.” This type of market has a typical characteristic: no clear trend, only continuous consumption.

🌍 The Macro Hand Behind the Scenes: Japan’s Rate Hike is Draining Global Risk Liquidity

Technical weakness is just surface-level. More critically, expectations of Japan’s rate hike are quietly becoming an invisible shackle in the crypto world.

Why is Japan’s move so important? For a long time, the yen has been the preferred currency for global arbitrage financing. A lot of capital is engaging in arbitrage by “borrowing yen → betting on stocks or crypto assets.” Once Japan starts raising interest rates, this liquidity will flow back. The result is — global high-risk assets face liquidity tightening.

This explains why US tech stocks have been weak recently, Bitcoin and Ethereum are under pressure simultaneously, and the rebound strength is far less than in previous rounds.

📈 Technical Analysis

Bitcoin: Resistance at 89,000-90,000, support to watch if 84,000 and 86,000 can hold.

Ethereum is weaker; unless we see signals of “volume expansion + structural reversal,” don’t rush to buy the dip. The current trend looks more like repeated confirmation of direction at high levels rather than a direct turn upward.

💡 Advice for Retail Investors

❌ It’s too risky to go all-in now chasing a rebound
❌ High-leverage contracts are even less advisable; being shaken out is common

✅ Smarter approach:
Wait for key technical levels to confirm before acting
Control your position size even if entering
Keep sufficient funds to handle sudden market moves

Core advice: Better to miss a rebound than to have your chips worn down by this volatility.

🔍 Summary

The current crypto market situation is: technical weakness + macro liquidity tightening + extremely cautious market sentiment. At such moments, it’s not about whose judgment is more accurate, but who has more patience and discipline. Opportunities are always there, just shifting into the hands of those who are prepared.

$BTC $ETH
BTC0,22%
ETH0,53%
View Original
This page may contain third-party content, which is provided for information purposes only (not representations/warranties) and should not be considered as an endorsement of its views by Gate, nor as financial or professional advice. See Disclaimer for details.
  • Reward
  • 6
  • Repost
  • Share
Comment
0/400
GasFeeCriervip
· 2025-12-21 09:51
Japan's move is a direct blow, no wonder the crypto world is having such a hard time.
View OriginalReply0
RugPullSurvivorvip
· 2025-12-21 08:12
Japan's interest rate hike has truly scared global funds half to death, and we are passively being played for suckers here...... --- 86,000 is a hassle, rather than guessing randomly, it's better to just lie flat and wait for signals to appear --- It feels like we are waiting for that turning point, but no one can grasp it, it's frustrating --- Better to miss out than to be shaken out, this statement is too heart-wrenching --- Funds are all in a wait-and-see phase, taking action at this time is purely gambling --- With Ethereum in this state, I won't act unless there are higher trade volumes, really --- Both bullish and bearish views have been worn down by this volatility, retail investors are just being manipulated.
View OriginalReply0
ContractTestervip
· 2025-12-18 15:40
Japan's interest rate hike, the whole world has to follow and join in the burial. This tactic is really brilliant.
View OriginalReply0
NeverPresentvip
· 2025-12-18 15:40
Once again, this frustrating market situation, trapped at 86,000 feels like being stuck, really annoying. The hardest part is the feeling of not being able to break below 80,000; it's almost better to just go all in. Japan's moves are indeed ruthless, making the whole world suffer the backlash, and the crypto circle is hit the hardest. It's better to wait patiently; acting now would only invite more trouble.
View OriginalReply0
Whale_Whisperervip
· 2025-12-18 15:36
Japan is causing trouble again. Do we still have to foot the bill? When liquidity tightens, the coins have to kneel.
View OriginalReply0
YieldWhisperervip
· 2025-12-18 15:35
nah the carry trade unwind narrative doesn't fully check out here... actually the math on this liquidity crunch feels overblown tbh
Reply0
  • Pin

Trade Crypto Anywhere Anytime
qrCode
Scan to download Gate App
Community
  • 简体中文
  • English
  • Tiếng Việt
  • 繁體中文
  • Español
  • Русский
  • Français (Afrique)
  • Português (Portugal)
  • Bahasa Indonesia
  • 日本語
  • بالعربية
  • Українська
  • Português (Brasil)