Bitcoin Remains in a Descending Range, While Altcoins Gain Traction

Bitcoin is currently stabilizing within a descending range, displaying minimal directional movement. In contrast, several altcoins are quietly gaining strength. This market consolidation could suggest a potential early upside for these smaller assets before Bitcoin makes its next major move.

Key Takeaways

Bitcoin is currently trading within a descending range with no clear directional movement.
Key resistance levels to monitor are $90,588 and the descending trendline.
If Bitcoin closes below $82,477, it may signal a continuation of the downtrend.
Altcoins are gaining momentum, indicating potential upside even as Bitcoin consolidates.
A confirmatory closing above $90,500 could trigger a sustained upward trend in Bitcoin.

This comprehensive breakdown provides insights into Bitcoin's current market status and outlines potential strategies and key levels to watch for both Bitcoin and altcoins.

Bitcoin

Key Levels to Watch: $90,588 and the Descending Trendline

As noted in a recent update by Kamile Uray, the crucial levels on the daily chart remain unchanged. The main focus is still on the $90,588 level and the descending blue trendline. If Bitcoin cannot close above these levels, the downtrend may persist. Any upward moves below the blue descending trendline should be viewed as corrective instead of indicating a trend reversal.

The first support area to watch during this pullback lies between $83,822 and $82,477. A daily close under $82,477 would indicate the continuation of the downward trend, possibly leading to the $74,496–$71,237 zone, marked by the blue box in the chart. This lower area is perceived as a solid support zone where buyers may enter the market.

Bitcoin BTC remains below the descending trendline | Source: Chart from Kamile Uray on X

Thus, a clear confirmation of a reversal is essential before considering any substantial upward movements. Once confirmed, a rally toward the blue descending trendline could occur, testing various resistance levels along the way.

For a definitive resumption of the uptrend, Bitcoin would need to close above $90,588 and break through the descending resistance. Additionally, a daily close beyond $94,130 would indicate that the blue descending trend has been breached, potentially marking the beginning of sustained bullish momentum.

Lower Time Frame Movements Display Less Impulse, Yet Structure Remains Intact

Crypto analyst The Penguin has observed that the lower time frame (LTF) is displaying slightly reduced impulsive action, while the overall wave count remains unchanged. Recent movements on the LTF appear more like noise and do not alter the broader wave count, leading to continued confidence in a leading diagonal for wave 1.

Setting aside Elliott Wave analysis and focusing on conventional technical analysis, Bitcoin appears to respect a defined range. Consequently, a minor deviation towards the 0.886 level shown on the chart is being monitored closely as a potential entry point.

Bullish confirmation will occur if Bitcoin manages to close and maintain a position above $90,500. This would invalidate the current bearish scenario and suggest the possibility of a more sustained upward trend. Until then, short-term fluctuations are considered typical market noise, especially as the yearly open approaches.

On the altcoin front, momentum seems to be persisting, hinting at potential upside. Some altcoins, like XPL, are already showing signs of outperformance, indicating that while Bitcoin consolidates, certain altcoins are beginning to rise.

Bitcoin BTC trading at $87,481 on the 1D chart | Source: BTCUSDT on Tradingview.com