Rekt Capital's analysis provides insight into Bitcoin's current market position and potential recovery scenarios, focusing on critical support levels and the push toward $100,000.
Critical BTC Support Level Under Test
According to Rekt Capital's analysis, Bitcoin is currently testing a critical support level at $91,000, marking a stark contrast to last week when it was pushing against resistance at $101,000. Rekt Capital emphasizes that a daily close above $91,000 is crucial for maintaining bullish momentum. Without this confirmation, the cryptocurrency risks sliding into a lower range between $87,000 and $91,000.
Higher Timeframe Perspective for Bitcoin Price
On the quarterly timeframe, an interesting dynamic is unfolding. The $93,700 level, which previously acted as reliable support, has now transformed into resistance. However, Rekt Capital maintains an optimistic long-term outlook, suggesting that the current downside deviation is likely temporary. The analyst notes that based on previous market cycles, such temporary deviations tend to be canceled out as the market progresses, with former resistance levels eventually being reclaimed as support before price discovers new highs.
Monthly Outlook and Seasonal Patterns for Bitcoin
The monthly chart reveals additional complexity, with levels of $93,700 and $96,500 currently serving as resistance. However, the monthly candle still has several weeks remaining before closing, leaving room for potential trend reversals. In a recent update shared on social media, Rekt Capital highlighted that while Bitcoin has shown signs of reclaiming $91,000 as support, the daily close remains paramount.
January has typically been a challenging month for Bitcoin, often showing bearish tendencies, but February traditionally marks a turning point where market momentum picks up. Rekt Capital's analysis suggests that as higher timeframe support levels are reclaimed, Bitcoin could continue its movement toward $100,000.
