Bitcoin Price Bounces Back After Recent Surge: Market Observes

Bitcoin has initiated a modest increase beyond the $96,000 mark. However, it's currently correcting some gains and might drop to $94,000 before potentially rising again.

Key Takeaways

Bitcoin has seen a rise above both $95,000 and $96,000.
The cryptocurrency is trading above $95,000 and the 100-hour Simple Moving Average (SMA).
There may be a declining channel or a potential bullish flag forming, with resistance at $96,200 on the hourly chart of the BTC/USD pair (data feed from Kraken).
As long as Bitcoin remains above the $95,000 area, it could keep moving upwards.

Bitcoin Price Blinks After the Run

Bitcoin Price Corrects Gains

Bitcoin successfully maintained its position above the $93,500 support level and began a new ascent. It settled above the $95,000 and $95,500 marks, with bulls eventually pushing the price over $96,000. A peak was reached at $97,898, and now the price is pulling back from these gains.

Bitcoin has crossed below the 23.6% Fibonacci retracement level from the recent surge, which began at a low of $89,995 and peaked at $97,898. Currently, Bitcoin is trading above $95,000 and the 100-hour SMA. If the price remains stable above $95,000, there is potential for another increase.

Immediate resistance sits around the $96,000 level, with significant resistance at $96,200. The hourly chart for the BTC/USD pair suggests a declining channel or a possible bullish flag forming, with $96,200 acting as a resistance level.

Bitcoin Price Source: BTCUSD on TradingView.com

The next resistance threshold might be at $97,000. If Bitcoin manages to close above $97,000, it could lead to further increases, with potential peaks at the $97,800 resistance. Additional gains could push the price towards the $98,800 level. Key barriers for bulls could appear at $99,200 and beyond $100,000.

Will Bitcoin Face a Continued Downturn?

Should Bitcoin fail to surpass the $96,200 resistance level, it might begin another decline. The immediate support level is situated near $95,000. The first major support is at approximately $94,000, which aligns with the 50% Fibonacci retracement level of the recent rise from $89,995 to $97,898.

The next support zone is located around $93,000. Further declines could drive prices closer to the $91,850 support level in the short term. The critical support level is at $91,500; falling below this level might accelerate Bitcoin's downturn in the near future.

Technical Indicators

Hourly MACD: The MACD is currently slowing down within the bullish zone.
Hourly RSI (Relative Strength Index): The RSI for BTC/USD is now below the 50 level.
Major Support Levels: $95,000, followed by $94,000.
Major Resistance Levels: $96,200 and $97,000.