Bitcoin Price Hits $92.5K Amid Weak Demand: Can the Rally Hold?

Bitcoin price is showing signs of recovery, rising 2.5% to $92,500 today. It bounced back after a sharp drop triggered by the Fed’s rate cuts earlier this week.

However, market analysts say that there’s not much steam in this upside as organic demand weakens.

Amid this FOMC volatility, on-chain data shows that old whales have started moving their BTC, suggesting low conviction.

Bitcoin Price Upside Lacks Organic Demand

Popular crypto analyst Ardi said the Bitcoin price rise to $92,500 is driven mainly by a short squeeze. He added that the move is not supported by strong organic demand. Although price action shows aggressive upside momentum, open interest has simultaneously fallen by $1.71 billion.

This shows that the BTC price upside comes from forced short liquidations rather than new capital inflows. Large holders are pressuring late bearish traders by targeting their liquidation levels. They are using these forced orders to push prices higher without deploying much capital.

Thus, a drop in open interest during a rally typically signals capital exiting the market instead of supporting sustained upside.

The analyst warned that traders should treat the upswing as a short squeeze rather than the start of a new bullish leg. Citing the current market structure, he said that the Bitcoin price is likely to retest the support before visiting recent highs.

Looking at the current chart formation, analyst Ardi noted that the Bitcoin price is forming an ascending triangle pattern. As shown in the chart, the price is moving towards a potential breakout.

The analyst indicated that a liquidity sweep toward the lower support area near $91,000 is likely. A strong buying interest is essential to push the price higher immediately.

Ardi said such a sweep would create the liquidity Bitcoin needs to retest the pattern’s upper boundary. He added that this could give the price a chance to attempt a breakout.

However, he cautioned that if the descending support line fails during the move, the technical structure would weaken.

Bitcoin Price Upside Looks Fragile

On-chain data from blockchain analytics firm Santiment showed that the current Bitcoin price action is FOMC-led volatility. However, the latest movement from long-time Bitcoin whales sends a bearish signal.

Older BTC whale wallets show stable holding behavior with flat, spike‑free activity. This pattern signals stronger conviction among long‑term holders. On the other hand, spikes in on-chain movements from these wallets suggest reduced confidence.

This undermines the chances of a Bitcoin bottom formation. Speaking on the current development, Bitcoin critic Peter Schiff noted:

In another message on the X platform, Schiff noted that he expects BTC to correct in 2026. At the same time, Gold will continue to rise.

Bitcoin ETF Flows Flip Negative Again

The flows into spot Bitcoin ETFs have flipped negative once again on Thursday, December 11. As per data from Farside Investors, the flows across US ETF issuers were a negative $77 million.

BlackRock’s IBIT and Bitwise BITB were the only two ETFS with positive flows. All other issuers reported either zero or negative flows.