Bitcoin is experiencing notable bullish activity, trading just under $100,000 after a breakout. There’s significant investor interest with a market cap of $1.92 trillion. Current resistance sits at $97,500, with support around $88,000. While technical indicators appear bullish overall, caution is advised if resistance holds firm and volume declines.
Bitcoin has recently maintained a tight trading range between $96,869 and $97,057, just close to its recent highs. Over the past 24 hours, it’s seen intraday fluctuations between $95,925 and $97,341, which shows there’s still a strong interest from investors. Notably, Bitcoin now boasts a market cap around $1.92 trillion with trading volumes hitting $27.81 billion. That says something about the ongoing market dynamics, doesn’t it?
Diving into the daily BTC/USD chart, there’s a pretty strong bullish breakout from the previous consolidation prices of $74,000 to $84,000. After this breakout, Bitcoin shot up to around $97,470, backed by increased buying volume that suggests solid market support. Analysts have identified an ascending triangle pattern prior to this breakout, signalling potential continuation. Right now, key support rests at about $88,000, while immediate resistance is hovering near $97,500. Some technicians even believe a pullback to the $90,000–$92,000 range might offer lower-risk entry points, eyeing a short-term target of $97,500 and a more ambitious medium-term goal at $100,000.
Taking a peek at the 4-hour BTC/USD chart reveals that the trend is still firmly bullish. There’s this repeating pattern of higher highs and higher lows, making the trajectory look pretty promising. Interestingly, a previous resistance zone between $94,000–$95,000 has now flipped and is acting as critical support. Volume spikes during upward trends, paired with calm pullbacks, create a constructive environment. A small cup-and-handle pattern preceding the jump to $97,470 further strengthens this optimistic outlook. If there’s a retest of the $95,000 zone with low-volume selling, it may provide a solid entry, targeting at least $97,500.
Looking at the 1-hour chart gives a glimpse of a sharp V-shaped recovery from a low around $92,946, possibly indicating a bear trap and renewed momentum to the upside. Currently, Bitcoin is consolidating between $96,500 and $97,500. The declining volume during this consolidation phase could mean a breakout is looming. An aggressive approach might involve buying once it breaks above $97,500 with supportive volume, aiming for a target of $99,000 to $100,000. A sensible precaution would be to set a stop-loss slightly below $96,000.
Oscillator indicators present a mostly neutral picture, hinting at market balance but with a slight bullish lean. The RSI, Stochastic, CCI, and ADX all suggest neutrality. However, there are buy signals from MACD and the awesome oscillator, while the momentum indicator throws a curveball with a sell suggestion. Traders should be wary of this mixed message and wait for volume confirmation before making bigger moves.
All major moving averages, whether exponential or simple, are signalling buys across different time frames. The exponential averages from 10 to 200 periods, as well as their simple counterparts, are trending upwards, reinforcing this bullish sentiment for short and long term. Traders must keep an eye on the $97,500 resistance to gauge the next big move.
Bullish viewpoints hold strongly: the technical signs for Bitcoin are firmly bullish. With consistent buy signals across major moving averages and a solid breakout on the daily chart, the path to the psychologically significant $100,000 looks viable, provided it can convincingly clear past that $97,500 resistance.
On the flip side, bears might argue there’s some troubling resistance at $97,500 combined with those mixed oscillator signals suggesting potential weakening momentum. Should Bitcoin falter at this level, especially if volume declines, it could lead to a slide back toward the $94,000–$92,000 support zone, opening the market to a deeper correction scenario.
