Bitcoin Attempts Upside Break at $98,000 Amid Market Tension

Bitcoin is showing renewed strength as it pushes to $98,000, with significant market implications. Analysts believe that a breakout above $100,000 can trigger a bullish rally, yet a dip below $90,000 could signal bearish momentum. The next trading sessions are crucial for setting the market’s direction.

Bitcoin is making waves as it pushes towards the $98,000 mark, showing signs of strength that many traders have been waiting for. After a tough period riddled with volatility and selling, bulls seem to be taking charge for the first time in a while. Key moments ahead could mean the difference between continuing this uptrend or facing another downtrend. Currently, Bitcoin is nestled in a range pivotal for its next major price movement.

If Bitcoin dips below the support around $90,000, it could signal the end of its current bullish structure, paving the way for bearish sentiment. However, a solid breakout and daily close beyond $100,000 could ignite a rally and boost market confidence. Hence, the next few trading sessions are going to be critical for both traders and investors.

Analyst Big Cheds has chimed in on Bitcoin’s developing technical setup. He pointed out the 4-hour chart showing BTC pressing against the upper limits of its trading range with “beautiful strength.” If the bulls can keep their momentum alive, this might just lead to a breakout phase, which traders have eagerly anticipated.

Yet, this could test investors’ patience once again. Bitcoin has been struggling with the $100,000 psychological level, despite a series of strong price actions recently. While there are analysts predicting a break past the previous all-time high of about $109,000, others are sceptical, claiming that the current bullish momentum could merely be a minor bounce in an ongoing bear market.

Despite some earlier heavy selling and the macroeconomic uncertainties, BTC has reclaimed critical support levels, getting back above $97,000. Bitcoin’s price action showcases that it is indeed forming higher lows, inching closer to that multi-week resistance. Cheds strikes a more optimistic tone this time, mentioning Bitcoin’s unexpected resilience, affirming that bulls still hold control for now.

That said, the $100,000 point remains a significant hurdle. A breakout here could confirm a strong bull market continuation, while the market remains caught in a tug-of-war between anticipation and skepticism. Investors are closely watching for signs; either a breakout above $100,000 or a tumble below the $90,000–$92,000 support could set the tone for the coming period.

In essence, while Bitcoin appears to be set up nicely for a breakout, the market is still marked by hesitation. Will this be a springboard to new highs, or simply the calm before another storm? The next move will undoubtedly influence market sentiment for the months ahead.

As things stand, Bitcoin is presently trading around $96,959, having bounced effectively from the $94,000 support zone. The bulls are making a notable effort to retest the important $98,000 resistance right below that significant $100,000 threshold. On the 4-hour chart, Bitcoin is sitting well above both the 200-period simple moving average (SMA) at $88,387 and the 200-period exponential moving average (EMA) at $90,723.

This resilient price action affirms that a bullish trend is attempting to solidify since around mid-April. Volume has shown a slight uptick during this recent breakout effort, indicating fresh demand. Yet, historically, the $98,000–$100,000 range has often triggered selling. Therefore, a clear breakout above $100,000 is crucial for confirming a substantial breakout.

Should bulls reclaim $100,000 successfully, Bitcoin may quickly work its way towards the former all-time high of just shy of $109,000. On the flip side, maintaining a strong hold above the $94,000–$95,000 zone will be essential for sustaining bullish momentum. Presently, Bitcoin seems to be bracing for a significant movement, and the next few days will likely define the broader market trends.