Bitcoin has faced a challenging phase as it struggles to maintain momentum above the $96,500 level, having previously peaked near $99,400. After a failed attempt to breach the significant $100,000 level, the cryptocurrency has experienced a downturn, currently resting below $96,500. Analysts suggest that it may revisit the support zone around $93,200 if the downward trend persists.
Initially, Bitcoin ’s upward trajectory seemed promising, breaking through key resistance levels of $96,500, $97,500, and $98,000. The cryptocurrency made notable gains, approaching the $99,000 level before a swift correction initiated. Subsequently, the price dropped below the previously established support level of $96,500, as well as the 50% Fibonacci retracement level, indicating substantial selling pressure.
As the situation stands, Bitcoin is attempting to hold onto the crucial $95,000 region, while also interacting with the 61.8% Fibonacci retracement level. Currently, there is immediate resistance positioned around the $96,400 level, with a critical barrier near $97,750. For a bullish reversal, Bitcoin needs to surpass these resistance levels; a successful move above $97,750 could lead to an attempt at reclaiming the $99,000 level and potentially test the psychological $100,000 milestone thereafter.
Conversely, if Bitcoin continues to struggle and fails to reclaim the $96,500 resistance, further declines may be on the horizon. Immediate support lies around $95,200, with more significant support levels at $95,000 and $93,800. Continued weakness could even push the price down to the $92,500 support area in the near term. Current technical indicators reveal a bearish momentum as the overall market sentiment remains cautious.
