Bitcoin is currently attempting to hold above a crucial support range between $92,500 and $94,000. As market sentiment remains bearish, analysts are monitoring whether Bitcoin can stabilize or if further declines will occur. At present, Bitcoin is trading just above the $95,000 mark, experiencing a decline of more than 1% over the past 24 hours.
Technical Indicators Signal Potential Weakness
The SuperTrend indicator, which tracks market trends, is nearing a significant shift from bullish to bearish for the first time in several years. Analyzing historical patterns, one expert noted that a similar transition preceded the onset of the 2022 bear market. A confirmed weekly close below $96,000 could be interpreted as a negative signal for Bitcoin’s long-term momentum.
In addition to the SuperTrend indicator, a strong bearish divergence has developed between Bitcoin’s price and the Relative Strength Index (RSI) over the past month. This divergence indicates weakening momentum, making a breakout less likely. Consequently, immediate recovery towards new highs is not anticipated.
Short-Term Prospects and Resistance Levels
Despite the bearish outlook, indicators suggest that Bitcoin may be experiencing short-term oversold conditions. This situation could lead to brief relief rallies, although no confirmed bottom has emerged yet. Should Bitcoin break below the current support range, analysts project that the next significant downside zone could be between $85,000 and $86,000.
If Bitcoin manages to bounce back, the most substantial resistance level to watch is between $99,000 and $100,000, a range that has previously shifted from support to resistance. Until Bitcoin reclaims this level, analysts expect slow or sideways price action to dominate the market.
Overall, Bitcoin may face continued pressure for several weeks or even months unless it overcomes major resistance levels. The upcoming weekly close near $95,000 is regarded as a critical moment for determining market direction.
