Bitcoin price remains in bearish volatility and briefly returns to the $95,000 support level today. Will this lead to a drop to $92,000?
Amid the recent Bitcoin decline, the crypto market experienced a massive burst of liquidations, totaling $230.30 million. Traders with long positions lost $180.89 million.
Will BTC price remain trapped in a downward spiral after facing rejection at $100,000 or is a bullish reversal possible?
Bitcoin price analysis
As BTC price fell below the $96,500 support level, the market cap fell to $1.9 trillion. After a 1.7% decline in the last 24 hours, 30-day returns have fallen to 3.46%.
Notably, Bitcoin hit a 24-hour low of $95,083 amid the crash. However, an intraday rally of 0.7% has pushed the current price to $96,339.
Short-term volatility has led to a consolidation on the 1-hour chart, followed by a pullback. Interestingly, BTC price is aiming for a possible breakout with a double bottom reversal pattern within this range.
The upper limit of this consolidation area is just above the 23.60% Fibonacci level at $96,279. Adding to the optimism, a morning star pattern has formed, setting the stage for a possible rebound to the 38.20% Fibonacci level at $98,571.
Since the MACD and signal lines have crossed positively, the chances of a bullish recovery increase. However, overall market conditions remain cautious, suggesting a potentially slower weekend. Traders should keep this in mind.
Where is the BTC price headed?
Due to the current situation, the price of Bitcoin is caught in a consolidation move. After the rapid pullback, this suggests potential…
