Bitcoin is showing renewed strength after a sharp recovery, indicating buyers are taking a step back at key levels. With momentum building and prices rising, attention now shifts to the $79,000 resistance zone where a outbreak could confirm the ongoing uptrend and open the door for a stronger rally.
Selling pressure after initial response
Bitcoin saw an immediate reaction to yesterday’s developments and faced notable selling pressure as the market digested the news. Analyst Kamile Uray highlights that while the initial reaction was bearish, the possibility of a sustained rally remains on the table provided the immediate low of $73,371 is successfully defended.
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However, a 4-hour candle close below this level would likely trigger a deeper correction towards the $68,720 level, which represents the critical Fibonacci value of 0.618. retracing of the most recent upward wave. Maintaining this support forms the basis for a new step up.
On the bullish side, a decisive close above $79,000 would signal a continuation of the broader uptrend to much higher targets. Uray identifies a major resistance cluster between $98,000 and $107,000-$109,000. Should the price be rejected at these high levels, traders could expect a return to the previous support zones ranging from $73,371 to $66,000.
Looking at the daily time frame, the $65,666 level serves as the pivot point. As long as Bitcoin maintains its position above this threshold, the overall structure remains skewed toward potential upside.
If the USD 65,666 level is not maintained, the focus would shift to lower support levels at USD 63,823, USD 62,433 and USD 60,000. The most critical warning comes at the $60,000 limit; a daily close below this psychological and technical barrier would likely extend the correction phase significantly.
Bitcoin is bouncing strong as the week starts
In his most recent updateAnalyst Michaël van de Poppe noted a relatively strong upward rebound for Bitcoin on Monday. This movement is particularly important because it takes place at a time when markets generally a trend towards a risky attitude prior to the weekly opening. Bitcoin’s ability to move higher against this cautious backdrop points to an underlying strength in current demand.
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A key factor in this analysis is the recent decoupling from traditional safe haven assets. While Bitcoin has shown resilience and upward momentum, gold is trending downward. Looking at the weekly magazine prospectsthe presence of a price gap at the $77,300 level remains a key concern for traders. Given the strength of the recent rebound and the existing technical vacuum heading into that higher level, Bitcoin is expected to fill this gap and reach new highs before the current week comes to an end.
Featured image from Pixabay, chart from Tradingview.com