- Bitcoin faces key resistance near $93,793, with strong buyer support at lower levels, signaling potential bullish continuation.
- A breakout above the descending trendline suggests renewed momentum, with Bitcoin eyeing $108K if bullish strength holds.
- A retest of the broken trendline could confirm the breakout, but failure to hold resistance may trigger another pullback.
Bitcoin faces key resistance levels as market participants assess its next move. The leading cryptocurrency recently tested resistance before pulling back, showing strong buying interest at lower levels. With Bitcoin consolidating near crucial price zones.
Bitcoin Consolidates Near Resistance
Doctor Profit’s analysis highlights Bitcoin’s recent price action within a defined range. The price tested upper resistance around $93,793.14 before experiencing a 2.62% decline. However, a long lower wick indicates strong demand at lower levels. This price behavior suggests buyers are actively defending support.
Mid-November 2024 was the last time Bitcoin emerged from a protracted period of consolidation. Following the breakout, values surged into a new range between $90,000 and $110,000. The 50-week Exponential Moving Average (EMA50) remains an essential support level, historically serving as a launching point for upward trends.
The market currently exhibits indecision, with wicks on both ends of the candles. TA conflict between buyers and sellers is implied by this. The overall trend is still favorable, but in order to continue rising, Bitcoin needs to regain resistance.
Key Levels and Potential Breakout
Clifton Fx’s analysis on the 4-hour timeframe highlights a descending trendline that previously acted as resistance. Bitcoin recently broke above this trendline after a sharp bounce from $78,000. The breakout signals a shift in momentum, with price currently near $92,999.
Bitcoin’s downtrend had persisted since mid-February, with multiple failed attempts to break resistance. The recent breakout indicates renewed bullish strength. A projected target area suggests a potential move toward $108,000, provided Bitcoin maintains upward momentum.
Besides, Bitcoin may retest the broken trendline before continuing higher. A successful retest would confirm the breakout, strengthening the bullish case. However, failure to hold above resistance could lead to another correction.
