Bitcoin has recently experienced a short-term decline after reaching the $106,250 level. Currently, the cryptocurrency is consolidating above the $100,000 threshold and could be poised for a potential rebound.
Following its ascent, Bitcoin faced a correction, trading below the $103,500 level and the 100-hour simple moving average. A significant dip occurred when the price fell below a crucial bullish trend line that had provided support at $104,650. In this ongoing fluctuation, Bitcoin formed a low at $99,538 but is showing signs of recovery after surpassing the 23.6% Fibonacci retracement level of the recent drop.
At present, Bitcoin ’s price hovers below $103,800. The immediate resistance appears to lie around the $102,000 level, while the more substantial resistance is positioned near $103,000, correlating with a 50% Fibonacci retracement level from the recent high to the low. If Bitcoin can break through the $103,000 barrier, it could signal further upward momentum, with the next resistance level to monitor being $104,650. A breakthrough past this resistance may propel Bitcoin towards testing the $106,250 level, and potentially up to $108,500.
Conversely, if Bitcoin struggles to exceed the $103,000 resistance, it might initiate another downward correction. Immediate support is identified around the $100,500 level, with major support at $100,000. Should the price fall below, attention will turn to the $98,800 support level, and further declines could lead to a test of the $96,500 level.
In summary, while Bitcoin is currently navigating through corrections, its ability to maintain support above $100,000 is critical for future upward moves, with resistance levels to watch closely as the market adapts.
