Momentum indicators are favoring a bullish outlook for BTC at the moment as the Relative Strength Index (RSI) has moved above the signal line meaning that positive momentum has been accelerating.
Meanwhile, the MACD’s histogram has been posting increasingly higher positive readings in the past five days as well.
On the other hand, a second breakout below the $80,000 level will likely result in a retest of BTC’s nearest support at $74,400. Now that most pending orders at that level have been filled, this support area is weaker than it was last week.
Selling pressure at current levels seems high as shown by Bitcoin’s outstanding large orders. Data from CoinGlass shows a significant volume of sales around the $84,000 – $86,000 area as BTC tags this key resistance.
Meanwhile, buying interest at around $75,000 is not as strong as it was in the previous week and this raises the odds of a bearish breakout. The next few sessions will be critical as BTC hovers and touches these key price levels.
BTC Struggles To Climb Above $86K
In a lower time frame (1 hour), we can already see BTC struggling to clear the $86,000 as there is strong selling pressure at this level. Bulls already failed to push the price above this level once and the resulting decline managed to reverse the token’s uptrend.
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Alejandro Arrieche