Key Points
- BTC is down less than 1% as the market remains unstable.
- The leading cryptocurrency may retest the support level at $87,000 before any rebound.
Price Movement of BTC Remains Volatile
The cryptocurrency market continues to underperform as BTC and other leading coins are in the red. Bitcoin has lost 0.7% in value over the past 24 hours and is currently trading at around $89,150.
The overall cryptocurrency market is attempting to stabilize after a massive sell-off this week. Bitcoin started the week on a negative note, closing below key support levels, including the 50-day exponential moving average (EMA) at $91,942.
Bulls attempted to defend the psychological level of $90,000 but failed, with Bitcoin retesting the midpoint of a parallel horizontal channel at $87,787 before starting a rebound. As of Friday’s writing, BTC is trading at approximately $89,175.
Will Bitcoin Soon Reclaim Above $91,000?
If the rebound continues, Bitcoin could extend its rally towards the first major resistance and the 50-day moving average at $91,942.
The relative strength index (RSI) on the 4-hour chart stands at 39, edging towards the neutral level of 50, indicating decreasing bearish momentum. For bullish momentum to sustain, the RSI must surpass the neutral level.
Despite this, the moving average convergence divergence (MACD) indicator showed a bearish crossover on Tuesday, suggesting slight downward pressure.
If the rebound fails and Bitcoin’s daily candle closes below the support level of $87,787, it could extend the decline towards the lower boundary of the consolidation at $85,569.
Currently, market conditions are shaky, with no clear direction in sight. Bitcoin has wiped out most of the gains accumulated earlier this month, largely due to trade tensions between the United States and the European Union concerning Greenland.
However, although the issue appears to be resolved, Bitcoin’s performance has not significantly improved.
John is a seasoned journalist at The Bothside News, specializing in balanced reporting across news, sports, business, and lifestyle. He believes in presenting multiple perspectives to help readers form informed opinions. His work embodies the publication’s philosophy that truth emerges from examining all sides of every story.
