Bitcoin Poised for a Potential Rise to $95K as Bear Pressure Dwindles
Indicators suggest that Bitcoin might rebound to $95,000 amid decreasing seller exhaustion.
Bitcoin Poised for a Potential Rise to $95K as Bear Pressure Dwindles
Signs of seller exhaustion at the 200-day SMA indicate a possible price bounce.
What You Should Know:
- Technical charts suggest bullish signals for Bitcoin at crucial support levels, hinting at a potential market reversal.
- Bitcoin’s price decline has paused at the 200-day simple moving average support level, showing signs of weakening selling pressure.
- Resistance levels are identified at $95,000 and then $100,000.
Chart Analysis
Increasingly, technical charts highlight market psychology by displaying trader sentiment and behaviors. Since Friday, at least two Bitcoin candles indicate bullish momentum as they hit multi-month lows, providing hope for crypto investors.
As illustrated in the chart, Bitcoin’s price drop halted at the 200-day simple moving average support since Wednesday. The daily candles from Tuesday and Friday are particularly noteworthy, showing small bodies and long lower wicks, indicating failed bearish attempts below the 200-day SMA.
BTC’s daily chart.
In simple terms, on both aforementioned days, sellers pushed prices below the critical average but could not maintain that position, likely because buyers intervened to defend the support level.
Such candle formations occurring after a notable downtrend signal a potential bullish reversal. Traders might interpret this as a sign of decreasing selling pressure that could lead to an increase in bullish activity.
Thus, Bitcoin could rebound towards the recent high around $95,000; if that level is surpassed, traders may set their sights on the $100,000 milestone. Conversely, a breakdown below the 200-day SMA could lead to further losses.
