Bitcoin fell back to the $91,000 range on Tuesday, after briefly recovering to the $94,000 range the previous day.
Despite improving fundamental demand indicators, strong selling pressure is still evident near key resistance levels, according to the latest data.
Large sell orders are suppressing Bitcoin's rise near $95,000.
This drop occurred after Bitcoin failed to break above the $94,000–$95,000 range. According to order book data, approximately $100 million in sell orders had accumulated at this price level on major exchanges.
Such concentration of liquidity has acted as a ceiling on price, preventing further upside and triggering short-term profit-taking.
The $91,000 range for Bitcoin has become an entry point for a large number of new buyers who entered the market early in 2025. It appears these buyers are taking short-term profits in response to recent volatility.
The order book heat map shows that when Bitcoin enters this zone, sellers absorbed buying pressure.
As the upward momentum slowed, leveraged traders began liquidating positions, accelerating the drop to the $91,000 range. This movement appears to stem more from market structure than from a sudden shift in sentiment.
The possibility of a price reversal remains.
Despite this recent correction, on-chain and flow data continue to indicate a solid underlying trend.
According to CryptoQuant, the reserve ratio of Bitcoin against stablecoins on Binance is rising again. This increase suggests that investors' buying power is strengthening.
When the ratio increases, traders tend to hold stablecoins and wait for favorable opportunities, typically investing during corrections rather than upward trends.
Such gradual accumulation of liquidity often precedes a 'consolidation' phase where prices trade within a range, and does not typically lead to sharp short-term upward moves.
Institutional demand remains strong. Bitcoin spot ETF inflows reached approximately $697 million on January 5, with total inflows nearing $58 billion.
Notably, despite Bitcoin struggling near resistance levels, capital inflows continue, indicating that long-term positioning, rather than speculative momentum, is supporting demand.
The contrast between strong ETF inflows and short-term price weakness highlights the widening gap in today's market.
While long-term investors continue accumulating, short-term traders reacted to technical levels and concentrated liquidity. This dynamic explains why, despite failing to hold the $94,000 level, a panic sell-off did not occur.
Even during the downturn, there was no significant inflow into exchanges or aggressive selling by long-term holders.
Currently, the data suggests consolidation rather than a reversal. Breaking above $95,000 will require sustained buying in spot trading, thinning sell-side liquidity, and broader movement across the risk asset market.
Until then, the adjustment toward the low $90,000 range can be seen as a healthy process to digest recent gains.
