- Bitcoin briefly fell below $90K but showed signs of recovery, stabilizing at $90,030.
- Strong ETF inflows this week did not prevent Bitcoin’s pullback below $90K.
- BTC is testing critical resistance levels near $96.8K, with support around $90.3K.
Bitcoin’s price fell below $90,000 briefly on Thursday before stabilizing around $90,030. The pullback occurred despite strong inflows into US-based spot bitcoin exchange-traded funds (ETFs). These inflows suggest continued interest in Bitcoin, but market volatility and resistance levels are still proving challenging for the cryptocurrency.
At the time of writing, Bitcoin’s price was moving within a well-defined trading range. After dropping sharply, it found support near $86,000 to $88,000. A rebound from this region sent the price towards $90K, but Bitcoin is now encountering critical resistance levels, particularly the 50-day exponential moving average (EMA) around $96,800.
BTC Recovery Pattern Forms with Key Support
Despite facing resistance, Bitcoin has started showing signs of trend stabilization. The cryptocurrency’s price movement within an ascending channel reflects early-stage recovery.
The most recent low, which formed higher than the previous low, suggests that Bitcoin may be in the early phases of an upward move.
Key support is forming around $90,358, a level that coincides with the 78.6% Fibonacci retracement. This support is crucial for Bitcoin to maintain its recovery momentum. If Bitcoin holds above this support level, it could target a liquidity zone between $98,000 and $103,000.
Bullish Momentum Building Despite Resistance
The bullish trend for Bitcoin is gaining momentum, as evidenced by the Awesome Oscillator (AO) indicator. The AO is showing positive momentum, signaling growing bullish activity. While Bitcoin remains below key moving averages (50-day and 100-day EMA), these indicators suggest potential for upward movement if support holds.
The Relative Strength Index (RSI) is currently neutral, meaning Bitcoin has room for movement in either direction. If Bitcoin successfully breaks through the resistance around $96.8K and sustains a close above $100,000, further price appreciation could follow.
However, a drop back below $90,000 would likely prompt a return to lower levels, such as $86,000 to $88,000, with potential support at $80,000.
Disclaimer: This article is for informational purposes only and does not constitute financial advice. CoinCryptoNewz is not responsible for any losses incurred. Readers should do their own research before making financial decisions.
