Bitcoin Holds Above $65K Support, Breakout Toward $90K Could Be Next

Highlights:

• Bitcoin is consolidating between the $70,586 resistance and $65,970 support
• Such narrow consolidation usually precedes price breakouts 
• A bullish breakout is likely due to the growing integration of BTC with TradFi 

Bitcoin (BTC) is showing a slight rebound intraday. At the time of going to press, Bitcoin was trading at $67,829.74, up by 1.50%. However, Bitcoin trading volumes have dropped slightly intraday, down 1.26% to $32.64 billion. The price uptick, accompanied by declining trading volumes, suggests that investors are cautious about making any significant moves at this point.

Buyers are not coming in large numbers out of fear that this uptick could mean nothing amid an overall bearish trend. This is quite expected given that Bitcoin has made several, even bigger pumps, recently, but still negated all those gains after a short while. 

On their part, short sellers are careful not to take positions out of fear of a short squeeze. That’s because after months of sustained corrections, there is a risk that little is left in downside opportunity. At the same time, funding rates have recently turned negative, a situation that often precedes a short squeeze. Essentially, traders on both sides of the trade are waiting for a clear direction before they can make a move. While this is the case, multiple factors support the continuation of Bitcoin’s upside momentum intraday.

Bitcoin Increasingly Integrated with Traditional Finance

One factor is the rising institutional adoption of Bitcoin. Institutions are increasingly making moves that point to a deep integration of Bitcoin with the traditional financial system. One such move is the one by Ledn, a cryptocurrency lending firm, to complete a $188 million transaction that is backed by Bitcoin. The biggest part is that this deal happened in the Asset-Backed Securities (ABS) market, which is primarily used by traditional finance. This is not the first deal of this kind.

Breaking ⚡️: Ledn Closes $188M Bitcoin-Backed Bond Deal

Crypto lender Ledn has completed a $188 million bond backed by Bitcoin-collateralized loans, signaling renewed institutional interest in crypto credit markets. Analysts are watching closely for broader market impact.n pic.twitter.com/nOsyezsHR7

— Vox Whale (@vox_whale) February 19, 2026

Another such deal was made by the Norwegian company K33, which recently began offering loans backed by Bitcoin and Ethereum, with customers receiving the funds in USD Coin (USDC). Such moves point to the rising market confidence in Bitcoin as an asset. Such moves are likely to take out a sizeable chunk of Bitcoin from circulation and positively affect its demand and supply dynamics.

At the same time, it could inspire more retail investors, particularly the more conservative ones who focus primarily on stocks, to get into Bitcoin. The result is a rise in demand that could see its price rally to new highs in the short to medium term. 

Possible Headway On Clarity Act Could Send Bitcoin Higher

Bitcoin could also get a boost from news that the Clarity Act could be signed as early as April. Before it stalled, Bitcoin was starting to pick up bullish momentum. That’s because it has the potential to take cryptocurrencies truly mainstream and fully integrate Bitcoin into traditional finance. As such, with hopes for its passage renewed and Bitcoin trading at a significant discount, a rally could soon follow. The result is that FOMO could build up in the lead-up to April and beyond.

The White House has set March 1 as the deadline to resolve the disagreement over the yield/reward provision in stablecoins and to allow the Clarity Act, which aims to regulate the crypto market structure, to move forward.#Stablecoins #CryptoRegulation #ClarityAct https://t.co/q1V67I0kdg

— Emircan 🇹🇷 (@CryptoEmircan) February 20, 2026

Bitcoin Stays Above $65K Support, Awaits Breakout Move

Bitcoin is in a narrow consolidation between the $70,586 resistance and $65,970 support. Such price action usually precedes a breakout. In this context, if Bitcoin breaks out to the upside, a rally to $96,962 could follow.

On the other hand, if there is a downside push through the $65.970 support, Bitcoin could drop to $59,871, or lower in the short term. Of these scenarios, a rally to $96,962 is more likely. This is due to the growing integration of Bitcoin with traditional finance.