- Bitcoin has experienced significant volatility, with a sharp decline from recent highs near $103,000 followed by a partial recovery. Currently, the price is consolidating below the $98,000 resistance level, signaling indecision in the market.
Key Levels to Watch:
- Resistance:
- Immediate resistance at $98,000. - A stronger supply zone is visible around $100,000.
- Support:
- Key support levels lie at $95,000 and $92,000, where buyers have shown strong interest during the recent dip.
Market Structure:
- Trend:
- Short-term: Bearish due to the sharp sell-off and rejection near resistance. - Medium-term: Neutral to slightly bullish, as the higher lows from prior sessions remain intact.
- Candlestick Patterns:
- The long lower wicks during the dip indicate buyer absorption near $92,000–$95,000. - Recent candles show consolidation, suggesting market indecision ahead of a potential breakout.
Potential Scenarios:
- Bullish Case:
- A breakout above $98,000 with strong volume could lead to a retest of $100,000, with potential upside toward $103,000.
- Bearish Case:
- Failure to reclaim $98,000 could result in a retest of $95,000 and $92,000. A breakdown below $92,000 might accelerate selling pressure, targeting $90,000 and lower levels.
Trading Strategy:
- For Long Positions:
- Entry: On a confirmed breakout above $98,000. - Stop-Loss: Below $95,000. - Targets: $100,000 and $103,000.
- For Short Positions:
- Entry: On rejection at $98,000 or $100,000. - Stop-Loss: Above $100,000. - Targets: $95,000, $92,000, and $90,000.
Conclusion:
- BTC/USDT is at a critical juncture. A decisive move beyond $98,000 or below $92,000 will likely define the next major trend. Traders should exercise caution and ensure proper risk management given the current volatility.
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