Bitcoin Price Analysis: Critical Developments Above Annual Resistance

The price of Bitcoin continues to remain under pressure as it has still not been able to break above the annual opening resistance at around $93,500. Currently, Bitcoin is moving within a range between the accumulation area around $88,500 and this level, continuing to attract the attention of investors.

With the fluctuations occurring in the crypto market, the price of Bitcoin seems to have reached a critical threshold from the technical analyses we conducted last week. As mentioned in our previous analysis, it was anticipated that a 4-hour close above $91,000 could lead to a target of $93,500. However, Bitcoin was unable to maintain this level and moved back down again.

In this week’s analysis, we evaluate the possible directions through both daily and 4-hour charts. The renewed approach to the $88,500 range, where strong buyers were previously found, is critically important in terms of the strength of the reaction in this area. The inability to permanently secure the annual opening level at $93,500 on the daily charts stands out as a limiting factor for upward movements.

Now, we see that the price of Bitcoin is squeezed between the support/accumulation area at $88,500 and the annual opening resistance. If the $88,500 support is lost, a pullback to the $85,000 level is expected. On the other hand, if closures occur above the annual opening, a new wave of upward movement could emerge towards $98,000 and then the $101,000 band.

In the short term, for Bitcoin moving in the accumulation area on the 4-hour chart, 4-hour closes below $88,500 could indicate a more severe correction. In this case, if selling pressure increases, there is a risk that the price could decline to $83,700, $80,600, and $74,500 levels consecutively.

On the other hand, regaining the weekly opening level of $90,300 is regarded as a positive development that could carry the price back to the $93,500 annual opening band in the 4-hour outlook.