Bitcoin briefly climbed above the $90,000 level on Monday before retreating as trading activity shifted across global regions.
The price rose from around $88,000 during Asian trading hours and extended gains into European and early US sessions.
The rally faded later in the day, with Bitcoin sliding back towards the $88,000 region.
Recent price action has followed a recurring pattern of strength in Asian and European markets.
Gains have repeatedly weakened once US traders return, limiting sustained upside momentum.
Data from CoinGlass showed bitcoin futures open interest rose towards $60 billion earlier in the session.
The increase was observed across major venues including Binance, CME and Bybit.
Analysts said rising open interest suggests new leveraged positions rather than short covering.
Higher leverage alongside rising prices can amplify gains but also increase downside risk.
If momentum stalls, crowded long positions could unwind quickly, triggering sharp pullbacks.
Conversely, a sustained rally could see leverage accelerate further upside.
Bitcoin failed to maintain traction above $90,000, reinforcing near-term resistance at that level.
Market observers said a clean break and hold above $90,000 would mark a shift in December’s trading pattern.
Ongoing failure at this level may signal continued lower highs and rapid sell-offs.
Technical support remains firm near $84,000, which has held during recent declines.
Immediate resistance is seen around $91,400, followed by $94,000.
Analysts also highlighted heavier resistance between $98,000 and the $101,000 to $108,000 range.
A close above $108,000 would challenge assumptions that October marked a long-term peak.
Macroeconomic uncertainty in the United States continues to weigh on sentiment.
Federal Reserve policy remains unclear amid delays to inflation data linked to a government shutdown.
Gabriel Selby said investors remain cautious until clearer inflation trends emerge.
Upcoming US economic releases include third-quarter GDP, consumer confidence and jobless claims.
Forecasts point to GDP growth of about 3.5%, slightly below the previous quarter.
Seasonal optimism has emerged around the potential for a year-end “Santa rally”.
Bitcoin’s historical performance during the period has been mixed despite strong equity seasonality.
Since 2011, Bitcoin has averaged gains of roughly 7.9% during the festive window.
Spot bitcoin ETFs recorded nearly $500 million in net outflows last week.
Analysts said sustained support above $84,000 and strength during US hours are key.
Bitcoin was trading near $88,368 at press time with daily volume around $40 billion.
At the time of reporting, Bitcoin price was $87,128.99.