Bitcoin Stuck Between $80,000 and $88,000: Which Level Breaks First?

Bitcoin (CRYPTO: BTC) remains trapped between strong support near $80,000 and heavy selling pressure above $88,000 as renewed ETF outflows and hotter-than-expected inflation data threaten its recovery.

U.S. spot Bitcoin ETFs recorded almost $760 million in net outflows since Oct. 7, reversing nearly $3 billion in inflows between Sep. 21 and Oct. 6.

September’s hotter-than-expected CPI reading of 3.7% has increased concerns about another Fed rate hike at its Oct. 28 meeting, with the U.S. midterm elections adding uncertainty.

Why Is Bitcoin Struggling?

Glassnode data shows Bitcoin facing significant overhead supply from investors who accumulated during the past two years.

The six-to-twelve-month holders carry an average cost basis near $88,000 and one-to-two-year holders near $100,000.

Both levels have capped previous Bitcoin rallies, triggering declines of over 30% in January and roughly 25% after May’s advance.

Glassnode warned that weak institutional demand and break-even selling could limit Bitcoin’s upside until it decisively reclaims $88,000.

Could BTC Fall Toward $78,000?

Bitcoin remains above its spot ETF cost basis near $81,500 and True Market Mean around $78,000, maintaining its broader recovery structure.