Bitcoin experienced a brief correction, falling below the $90,000 mark before starting to rise again. Currently trading above $88,000 and the 100-hour simple moving average, BTC seems poised for another upward movement, potentially targeting the $94,000 zone.
The cryptocurrency rebounded from the $86,600 area, where it had found support after dropping below $88,000. Traders observed a low at $86,622 before the price began recovering. It climbed past the $90,000 threshold, reaching a high of $91,839. Now consolidating, Bitcoin has tested the 50% Fibonacci retracement level of its climb from the $86,621 low to the $91,839 high.
As of now, Bitcoin’s price is stabilizing above $88,000, consistently holding above the 100-hour simple moving average. However, some resistance looms at around $91,000, marked by a connecting bearish trend line on the hourly chart of the BTC/USD pair. Overcoming this resistance is crucial for the bulls to make further gains.
The first significant resistance lies near $91,850, and a decisive move above this level could propel the price higher. The next notable resistance point stands around $92,500. Surpassing $92,500 could spark additional gains, potentially driving the price towards $93,450 and even the $95,000 mark.
Conversely, should Bitcoin struggle to break through the $91,000 resistance, a downward correction could ensue. Initial support on this downside path is close to $89,250. The major support, however, is found near $87,850, aligning with the 76.4% Fibonacci retracement level of the upward move from $86,621 to $91,839. Further declines could see Bitcoin approaching the $86,620 level, with continued losses possibly leading to a dip towards $83,500.
Technical indicators offer mixed signals. The hourly MACD is losing momentum in the bearish zone, while the hourly RSI for BTC/USD is positioned above the 50 level, suggesting a generally bullish sentiment. Key support levels to watch are $89,250 and $87,850, with resistance levels at $91,000 and $92,500 being critical for determining Bitcoin’s next move.
