• Bitcoin price hovers around $87,000 on Thursday, stabilizing after declining earlier this week.
• US-listed spot ETFs recorded $457.29 million in inflows on Wednesday, the highest single-day inflows since November 11.
• Report highlights that BTC remains range-bound between $81,000 and $95,000, with rallies likely to remain capped until fresh liquidity absorbs supply.

Bitcoin (BTC) is attempting to stabilize, holding near $87,000 on Thursday after this week’s pullback. Institutional demand shows signs of optimism, as US-listed spot Bitcoin Exchange-Traded Funds (ETFs) recorded fresh inflows of over $457 million on Wednesday. However, reports suggest that BTC could remain sideways until fresh liquidity absorbs the overhead supply.

Institutional demand shows highest single-day in one month

Institutional demand shows early signs of recovery. SoSoValue data show that Spot Bitcoin ETFs recorded inflows of $457.29 million on Wednesday, breaking the two-day outflow streak. Moreover, Wednesday’s inflow marked the largest single-day ETF inflow since November 11, providing a demand boost that helped counter near-term selling pressure. If these inflows continue and intensify, the Bitcoin price could see further recovery ahead.

BTC remains range-bound, reports Glassnode 

Glassnode's weekly report on Tuesday highlighted that Bitcoin is stuck in a range, supported near $81,000, but capped by heavy selling above $95,000. 

The report explains that as long as price remains below this ($93,000-$120,000) range and fails to reclaim key thresholds, most notably the Short-Term Holder Cost Basis at $101,500, the risk of further corrective downside continues to loom over the market.

Despite this ongoing pressure, patient demand has so far defended the True Market Mean near $81,300, preventing a deeper breakdown. Spot demand remains selective, corporate treasury flows are episodic, and futures positioning continues to de-risk rather than rebuild conviction. 

“A real move higher will only happen if sellers run out above resistance or if fresh liquidity enters the market to absorb supply and push price back above key cost levels,” concludes Glassnode analyst.

Bitcoin Price Forecast: BTC trades sideways between $85,500 – $90,000 

Bitcoin was rejected at the psychological $90,000 resistance on Monday but found support at the 78.6% Fibonacci retracement at $85,569, leading to consolidation between these levels so far this week. As of Thursday, BTC hovers around $87,000.

If BTC breaks and closes below $85,569 on a daily basis, it could extend the decline toward the psychological $80,000 level.

The Relative Strength Index (RSI) on the daily chart is at 40, below its neutral level of 50, indicating bearish momentum gaining traction. Moreover, the Moving Average Convergence Divergence (MACD) showed a bearish crossover on Wednesday, further supporting the bearish view.

Looking up, if BTC closes above the $90,000 resistance level, it could extend the recovery toward the next key resistance at $94,253.