Cryptocurrency analytics firm MakroVision has provided an update on Bitcoin’s recent price action, outlining ongoing weaknesses and key levels to monitor.
Current Bitcoin Price Dynamics
Following a significant sell-off, Bitcoin continues to trade sideways, testing key support and resistance zones. Despite holding above a crucial Fibonacci level, a strong recovery has not yet taken place.
Key Levels to Watch
MakroVision highlighted the following key levels for Bitcoin:
- $87,500–$89,900: This area represents the first major hurdle. A move above this range could trigger short-term bullish sentiment. - $91,700: A strong resistance level associated with the liquidity zone. A decisive break above this mark would be an early indicator of a potential trend reversal.
On the downside, Bitcoin needs to hold above these critical support levels to avoid further declines:
- $79,263 (0.5 Fibonacci Level): This level has been defended so far, but another test could pose a risk of further breakdowns. - $75,000: A deeper liquidity zone that could act as support in case selling pressure increases.
Outlook and Potential Reversals
Despite holding a significant level, buyers have not made a significant move yet. The question remains whether the bearish momentum will continue, or if there will be a meaningful reversal in Bitcoin's value.
Although Bitcoin remains above the key Fibonacci level, its position below the descending trend line necessitates close monitoring of key levels for future price movements.
