Bitcoin is engaging with its 20-month simple moving average at $87,165, a technical level that onchain analytics platform CryptoQuant identifies as an important inflection point in the current market cycle.
The 20-month SMA forms the basis for CryptoQuant's market cycle signals tool and serves as the centerline for Bollinger Bands, which currently establish upper and lower bands at $121,640 and $52,694 respectively. CryptoQuant describes the SMA as an "inflection frontier"—a historical point where investor capitulation occurred when price broke below it in December 2025.
According to CryptoQuant contributor GugaOnChain, Bitcoin has concluded its market "reset" just over a year after reaching an all-time high of $124,709 on October 6, 2025. The analysis suggests that successful breakouts above the 20-month SMA have historically led to new cycle highs.
The 20-month SMA aligns with Bitcoin's 2026 opening level at $87,490, adding technical weight to the level as potential resistance. Large walls of ask liquidity remain in the vicinity across exchange order books, according to reports.
Bull Market Signals Continue
CryptoQuant's bull-bear market cycle indicator continues to register bullish readings despite macroeconomic headwinds affecting crypto and risk assets. The indicator uses composite data from onchain profitability metrics and showed a reading of 0.186 as of late October, compared to 0.042 in August.
CryptoQuant CEO Ki Young Ju stated in late August that the bear market was "over" based on readings from the bull-bear market cycle indicator.
