Key Takeaways:
– Bitcoin sees a sharp price drop from an all-time high of $104,015 to below $95,000 before recovering.
– The cryptocurrency is currently facing resistance near $99,000.
– A bullish trend line with support at $96,000 unfolds on the hourly BTC/USD pair chart.
– The momentum of Bitcoin could regain if it surpasses the key milestone level of $100,000.
– Bitcoin might face another decline if it doesn’t surpass the $100,000 resistance.
A Deep Dive into Bitcoin’s Recovery
After peaking at a record high of $104,015, Bitcoin experienced a severe dip, plunging below the $95,000 mark. However, the cryptocurrency made strides towards recovery, brushing off these monumental losses. Despite this, Bitcoin is met with hurdles nearing the $99,000 mark.
Bitcoin’s Decline and Subsequent Bounce
Reaching a new all-time high, Bitcoin embarked on a significant decline. With movements traced back to the $104,015 peak, the cryptocurrency started recording an extensive downside correction. This saw the Bitcoin price ticking below the levels of $100,000 and $95,000, hitting the lower regions around the $92,000 zone. It made losses to the point of creating a low at $91,800. Since then, Bitcoin has embarked on a journey of recuperating these unprecedented losses.
As the recovery unfolds, Bitcoin superseded the 50% Fibonacci retracement point of the downward swing from its high ($104,015) to the low ($91,800). Now, Bitcoin is trading above the straightforward 100 hourly moving average of $97,500. Alongside, a key bullish trend line is being formed, with support pinned at $96,000 on the hourly chart of the BTC/USD trading pair.
On the Climb Again: Potential Resistance Levels
Following this uptick, Bitcoin might face resistance nearing the $99,360 mark or even the 61.8% Fibonacci retraction level of the swing from the high to the low. With $100,000 being the first key resistance, Bitcoin might be propelled towards higher prices if it navigates past this stress point convincingly. With a clean sweep over the $100,000 resistance, Bitcoin is expected to strengthen.
The Resistance Ahead and Forecast
Looking ahead, the next major challenge for Bitcoin could be standing firm at $102,000. A definitive closure above this level might propel the cryptocurrency higher. In such cases, Bitcoin’s price could potentially witness a rise, challenging the $104,000 resistance level. Any further upticks may drive the Bitcoin value closer to the $108,000 mark.
Possible Downside for Bitcoin?
While Bitcoin basks in the glory of its recovery, the potential for another downside correction looms large if it doesn’t bypass the $100,000 resistance zone. On the lower side, immediate support is detected near the $97,000 mark. With $96,000 acting as the first substantial support, the next to follow is close to the $95,000 zone. Given more losses, Bitcoin’s price could plummet towards the $92,000 mark in the immediate term.
Using the hourly MACD gauge, it’s evident the MACD is gaining pace in the bullish alley. The hourly RSI for the Bitcoin/USD pair stands above the 50 points. In summary, Bitcoin’s major support levels reside at $97,000 and $96,000 while major resistance levels remain at $100,000 and $102,000.