Bitcoin Technical Analysis: Will the Long-Term Uptrend Save the Day?

Bitcoin’s current price is $97,384, accompanied by a 24-hour trading volume of $69.42 billion and a market cap of $1.92 trillion. Throughout the day, the price fluctuated between $95,444 and $99,496, indicating a market in turmoil. Traders are eagerly awaiting the next significant move, as technical indicators offer mixed signals.

Bitcoin Technical Analysis: Will the Long-Term Uptrend Save the Day?

Short-Term View (1 Hour Chart): In the short-term, Bitcoin appears to be sliding downward, with a clear pattern of lower highs and lows. It recently dropped from $99,514, and the support level at $97,000 is under pressure due to heavy sell-offs. Key indicators like the Relative Strength Index (RSI) at 49 and Stochastic at 29 are neutral, adding uncertainty to the market’s direction. Moving averages (MAs), both exponential (EMA) and simple (SMA) for 10 and 20 periods, lean bearish, suggesting potential for further declines unless buyers step in forcefully around $95,000.

Mid-Term View (4 Hour Chart): Zooming out to a 4-hour view, Bitcoin is encountering resistance around $99,500 after recovering from a low of $92,118. The resistance zone between $99,500 and $100,000 has proven difficult to break, as buying volumes remain low with rising prices. Oscillators like the Commodity Channel Index (CCI) at -55 and momentum at -4,079 are hinting at bearish conditions. The 30-period EMA and SMA also show mixed signals, making it hard to predict the next move. A push above $99,500 could propel the price towards $105,000, while a fall below $94,000 might confirm a bearish trend.

Long-Term View (Daily Chart): Looking at the longer-term daily chart, Bitcoin’s medium-term bullish trend still holds, despite some setbacks. The support at $92,000 has remained solid, helping maintain the overall upward trajectory. However, resistance at $100,000 and $108,000 has kept recent gains in check. The Moving Average Convergence Divergence (MACD) at 1,956 is signaling a potential sell-off, and quiet trading volumes during consolidation suggest traders are adopting a cautious approach. A strong close above $100,000 could lead to a run towards $108,000, but a drop below $92,000 might send prices toward $88,000.

Summary: In conclusion, Bitcoin is at a critical juncture, with key technical levels setting the tone. Support lies between $92,000 and $94,000, while resistance zones hover between $99,500 to $100,000, and another key hurdle sits at $108,000. Oscillators are largely neutral, but the momentum suggests potential downward pressure. Moving averages offer conflicting signals, with short-term indicators pointing bearish while long-term ones remain bullish.

Bullish Outlook: If Bitcoin can reclaim the $99,500 level with strong volume and close the day above $100,000, the bullish momentum could push the price towards $108,000, reinforcing the long-term uptrend. Traders looking to take long positions may find favorable entry points near the $94,000–$95,000 support zone.

Bearish Outlook: If Bitcoin fails to maintain the critical $92,000 support, the bearish trend could gain traction, pushing the price towards $88,000 or lower. With mixed signals from oscillators and moving averages, it’s advisable for traders to avoid aggressive long positions without clear signs of strength.