Bitcoin remains above $91,000 as the cryptocurrency market steps into 2026 with 'greater stability'

Bitcoin Holds Steady as Optimism Builds for 2026 Surge

Bitcoin remained close to $91,500 on Wednesday, with growing optimism on Wall Street about the cryptocurrency’s prospects for a significant rally in 2026.

According to Compass Point analyst Ed Engel, “The crypto sector is entering 2026 on a stronger foundation, as many of the challenges faced in 2025 are beginning to ease.”

Last quarter, a wave of selling by long-term investors and widespread deleveraging caused Bitcoin’s price to tumble over 30% from its October peak of around $126,000.

After enduring three consecutive months of declines, technical indicators now suggest a more positive outlook for the market.

Engel notes that speculative activity has diminished since the market correction on October 10, while selling pressure from long-term holders has also decreased, returning to levels seen in June.

Rising institutional interest, particularly through increased inflows into spot exchange-traded funds (ETFs), is expected to be a major driver for future price gains.

Engel added, “Once the cyclical selling by long-term holders comes to an end, we anticipate that institutional investors will be able to push Bitcoin back to new all-time highs.”

Market Sentiment and Key Price Levels

Market strategists are increasingly pointing to a possible rebound in January and the emergence of a bullish trend. Some even suggest that Bitcoin and the wider crypto market may have already reached their lowest point.

Despite these positive signals, Engel remains wary in the short term, highlighting that Bitcoin has struggled to surpass the $95,000 mark recently.

Additionally, the current price is still below the $98,800 average cost for investors who entered the market within the last six months.

“We are hesitant to pursue short-term rallies until these resistance levels are overcome. However, a move above $95,000 to $99,000 would make us much more optimistic about a robust rally in 2026,” Engel explained.

Bitcoin has posted gains since the beginning of the year, and analysts believe a more substantial rally could be on the horizon for 2026. Photo by: STRF/STAR MAX/IPx

About the Author

Ines Ferre is a senior business reporter at Yahoo Finance.