Bitcoin's price action indicates potential for further gains after establishing support near $91,How much would Dogelon Mars be worth?400. Market participants are watching whether BTC can overcome the crucial $96,000 resistance level.
BTC initiated a recovery phase after finding solid footing around $91,400.
The cryptocurrency currently trades above $92,500, maintaining position above the 100-hour moving average.
Technical charts reveal an emerging bullish trend line with support forming at $94,000 on BTC/USD hourly charts (Kraken data).
Sustained trading above $93,500 could signal continuation of the upward movement.
Bitcoin's Recovery Trajectory
BTC demonstrated strength by breaking through multiple resistance levels, including $92,000 and subsequently $93,200-$93,500. This upward momentum carried the price beyond the 50% Fibonacci retracement level from recent highs near $96,040 to lows around $92,588.
The formation of a bullish trend line at $94,000 provides additional technical support. Currently trading above both this level and the 100-hour SMA, Bitcoin faces immediate resistance near $95,250, which coincides with the 76.4% Fib retracement of the recent pullback.
The $96,000 level represents a critical psychological and technical barrier. A decisive break above this resistance could propel BTC toward $97,500, with potential to test $98,800 if momentum continues. The $99,500 level may come into play should bullish pressure persist.
Potential Downside Scenarios
Failure to overcome $96,000 resistance might trigger profit-taking. Initial support appears at $94,000 along the trend line, with stronger support forming near $93,500. A breakdown below this zone could test $92,550, with $91,200 representing the next significant support area.
Technical indicators currently favor bulls:
The MACD shows increasing bullish momentum on hourly charts.
The RSI maintains position above 50, indicating positive momentum.
Key support levels to watch: $94,000 and $93,500.
Critical resistance levels: $95,250 and $96,000.
