Bitcoin is seeing a rebound as it moves past the $98,000 level, with ongoing momentum suggesting that further gains could be on the horizon. The cryptocurrency has successfully established itself above the $97,500 level, indicating a significant recovery in its recent price action.
The upward movement commenced as Bitcoin breached the $95,500 resistance, which allowed it to advance past subsequent resistance levels at $96,200 and $97,000. A notable peak was achieved at $99,739, although Bitcoin is presently consolidating above the 23.6% Fibonacci retracement level based on its recent climb from a low of $97,250 to the peak at $99,793. A bullish trend line is forming with underlying support positioned at $97,800, reinforcing the upward trend as Bitcoin trades above both the $97,500 mark and the 100-hour simple moving average.
In terms of resistance, immediate levels are positioned around $99,800, with a crucial barrier identified at $100,000. A decisive break above this resistance could catalyze a further price increase, potentially pushing Bitcoin towards the next key resistance at $102,500. Should it clear this level, prices may test the $105,000 level, with even higher gains possible, targeting up to $108,000.
However, if Bitcoin struggles to rise above the $100,000 resistance, there may be a risk of downward movement. The first line of support on the downside is near $98,500, followed by more substantial support at $97,800. Should the downturn continue, the price could potentially drop to the $96,550 area, with further declines risking a dip to the $95,000 level.
Overall, technical indicators show a positive trend, with the MACD gaining strength in the bullish zone and the RSI indicating healthy momentum above the midpoint. Key support and resistance levels will be crucial in the coming days as the market progresses.
