Bitcoin Price Faces Resistance at Critical Levels – What’s on the Horizon?
Bitcoin’s price remains range-bound below the $100K threshold, with the Open Interest (OI) playing a significant role in recent price movements.
The OI screener recently signaled a shift in behavior, suggesting increased market participation as most cryptocurrencies showed heightened activity.
An important OI turning point occurred when BTC found support in the 95,600-95,900 range, propelling it towards the next cluster of resistance based on OI levels.
Subsequently, Bitcoin successfully surpassed the 97,000 level, driven by growing interest in both long and short positions.
Attention now turns to the major OI resistance level at the $99,000 range.
If Bitcoin maintains its current uptrend and the support around $96K remains solid, the next challenge could be the $99,600 to $99,900 range. These pivotal OI levels will determine Bitcoin’s next trajectory.
Market dynamics will hinge on whether traders increase their positions or decide to take profits, potentially leading to heightened volatility and a test of the resilience of the $99K resistance.
Bitcoin’s Path Forward Following Three Declines
Bitcoin is approaching a crucial juncture as it nears a breakout from a descending trendline that has previously resulted in three rejections above the $99K mark.
A recent uptick saw Bitcoin rise from $93.5K to $98.4K, bringing 1.7 million BTC back into profitability, according to Axel Adler on X (formerly Twitter).
Historically, each rejection at this trendline led to pullbacks, testing lower support levels before another attempt at a rally. Bitcoin is once again approaching this resistance barrier, prompting speculation on whether it will break out or face another setback.
The trendline symbolizes consistent resistance near the $100K level, a psychological threshold. A breach could signal a bullish continuation, possibly pushing Bitcoin back towards its all-time high of $109K and beyond.
Conversely, failure to overcome this hurdle might prompt Bitcoin to revisit lower supports, potentially retracing to $97,300 or even down to $90K, in line with previous lows observed in early February.
The outcome of this impending breakout or rejection will likely dictate Bitcoin’s market trajectory in the short term.