Bitcoin Rebounds Above $90K Ahead of Thanksgiving
Bitcoin reversed course on Wednesday, climbing back above $90,000 after nearly a week below that level, defying the typical pre-Thanksgiving slump.
The U.S. morning session began quietly, but trading picked up in the afternoon, lifting bitcoin roughly 12% from a low near $80,000 last Friday. Despite the recovery, the cryptocurrency remains down 3% over the past week, 21% over the past month, and 28% from its all-time high of $126,000.
Historically, the Wednesday before Thanksgiving has been a weak trading day for bitcoin, with declines in six of the past seven years, including significant drops in 2020 and 2021.
The rebound comes as skepticism in the crypto sector persists. The Financial Times, a longtime critic, published three bearish articles on Wednesday, highlighting concerns about bitcoin and digital treasury strategies.
At press time, bitcoin was trading just above $90,000, up nearly 3% over 24 hours.
“Volatility is easing after hitting the highest levels since April, as trading volumes remain lower during Thanksgiving week,” said Jasper De Maere, desk strategist at Wintermute. “Thin markets tend to soften sharp swings.”
Options data show traders are positioning for bitcoin to hold in a narrow range, focusing on selling call options and strangles between $85,000 and $90,000, with limited downside protection. “The market seems comfortable fading moves on either side rather than betting on a breakout,” De Maere added.
With the long Thanksgiving weekend approaching, lighter volumes are expected to keep major price swings limited, setting a cautious tone for the market heading into the holiday.
