Cryptocurrency analytics company MakroVision has conducted an analysis of Bitcoin’s price movement following its recent rally, identifying important resistance and support levels that could determine its future trend.
After a significant decline, Bitcoin has made a strong recovery and is currently trading at around $99,000. However, there are key resistance levels that could impact further price movement.
MakroVision points out that the $102,000 level is a short-term barrier and is just above a crucial liquidity zone that needs to be breached in order for further upside potential. The company also highlights that a breakout of the descending red trendline would trigger a decisive breakout target at $106,500, which aligns with the previous intermediate high.
In terms of support, MakroVision emphasizes that a drop below $98,600 would shift focus to the $95,900 level. Furthermore, the $91,700 level provided strong support during the recent sell-off, and a retest of this level could indicate an increase in bearish pressure.
MakroVision observes that the current V-shaped recovery indicates bullish strength, but it remains below the red trendline. The company notes that a breakout is necessary to target the next milestone at $106,500. However, if Bitcoin falls below $98,600, the focus will shift to the $95,900 support level.
*This is not investment advice.
