Price Analysis View Non-AMP

Bitcoin Price Drops 1% in New Year’s Eve: Here is a Critical Level to Watch in 2026

Published by
Steve Muchoki

Bitcoin (BTC) price has closed 2025 trading below crucial support levels around $100k and 90k. The flagship coin dropped over 1% in the past 24 hours to trade at about $87,255 at press time.

Key Midterm Level To Watch for Bitcoin

After closing 2025 in a choppy consolidation, Bitcoin will begin 2026 on a high bullish note. The strong fundamentals for 2025, including the impressive performance of spot BTC ETFs and treasury companies, are expected to fuel bullish sentiment in the coming months.

From a technical analysis standpoint, CryptoQuant’s data showed that BTC price has been retesting a crucial support level around $86.5k. According to CryptoQuant, this support level is the average cost basis for spot Bitcoin ETF buyers.

With U.S. spot BTC ETFs recording a cumulative net cash inflow of over $56 billion, the support level around $86.5k is well positioned to hold in 2026.

Source: X

Wall Street Anticipates a Bullish Outlook in 2026

2025 was marked by a significant adoption of crypto by institutional investors catalyzed by regulatory clarity. However, the wider crypto market closed 2025 in losses, thus underplaying the robust fundamentals.

However, Tom Lee, Chairman of BitMine, believes that 2026 will be bullish for crypto after underperforming the precious metals industry in 2025. Lee stated that Gold moves lead crypto, based on the liquidity flow during prior bull markets. 

The upcoming regulatory clarity in the United States through the Clarity Act is expected to further attract more capital to the crypto market. With the ongoing global cash printing amid monetary policy easing, Bitcoin is well-positioned to rally exponentially in 2026.

Steve Muchoki

Steve is a crypto news writer with a passion for decoding market moves. He blends breaking blockchain news with sharp technical analysis and bold price predictions. From Bitcoin rallies to altcoin breakouts, Steve breaks it all down with clarity and insight. Whether you're a trader or just curious, his analysis keeps you ahead of the curve.

Trust with CoinPedia:

CoinPedia has been delivering accurate and timely cryptocurrency and blockchain updates since 2017. All content is created by our expert panel of analysts and journalists, following strict Editorial Guidelines based on E-E-A-T (Experience, Expertise, Authoritativeness, Trustworthiness). Every article is fact-checked against reputable sources to ensure accuracy, transparency, and reliability. Our review policy guarantees unbiased evaluations when recommending exchanges, platforms, or tools. We strive to provide timely updates about everything crypto & blockchain, right from startups to industry majors.

Investment Disclaimer:

All opinions and insights shared represent the author's own views on current market conditions. Please do your own research before making investment decisions. Neither the writer nor the publication assumes responsibility for your financial choices.

Sponsored and Advertisements:

Sponsored content and affiliate links may appear on our site. Advertisements are marked clearly, and our editorial content remains entirely independent from our ad partners.

Recent Posts

Truth Media to Distribute Digital Token to DJT Shareholders In 2026

Trump Media and Technology Group Corp. (Nasdaq: DJT) has announced plans to distribute a digital…

December 31, 2025

Top 4 Banking Tokens for 2026: Is Digitap ($TAP) the Best Pick for Retail?

Banking-focused crypto projects are fast becoming one of the most relevant sectors in the market…

December 31, 2025

Top 3 Best Crypto With 1000% Growth Potential in 2026

As investors look ahead to 2026, the question is shifting from what already dominates the…

December 31, 2025

Ethereum and Solana Could Hit New All-Time Highs If US Crypto Law Passes

Ethereum and Solana may be setting up for their next big breakout, but one thing…

December 31, 2025

TRUMP Meme Coin Price Prediction 2026, 2027 – 2030: Will $TRUMP Price Hit $50?

Story Highlights The live price of the OFFICIAL TRUMP TRUMP memecoin cools near $5.66 as…

December 31, 2025

Hedera Price Prediction 2026, 2027 – 2030: Will HBAR Price Hit $0.5?

Story Highlights The live price of Hedera crypto is . Hedera Price prediction highlights HBAR…

December 31, 2025