Bitcoin Price Bounces Off Critical Support As It Tries To Break Past $95K

According to analysts’ charts, Bitcoin has recovered notably from its critical support price at $92,000.

It had been tested several times recently and was a springboard for Bitcoin as it pushed the price higher.

According to Crypto Rover, as indicated by key technical indicators, Bitcoin’s oversold conditions acted as a strong buy signal. He states that it’s buying time if Bitcoin hits these oversold levels.

Analyzing the Expert’s charts, we see the Relative Strength Index (RSI) has created a bullish divergence.

The RSI makes higher lows while the price falls, a classic signal of a potential change in the momentum of a divergence.

Bitcoin’s bounce back from around the $92,000 zone shows its strength after buyers came in to protect this area and launched the price above $94,000.

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Struggles for Bitcoin Price to Break the $95K Barrier

Bitcoin continues to recover but faces a problem at the $95,000 resistance level. Sellers have occupied this price point, making this psychological and technical barrier hard to break through.

Bitcoin’s price currently sits below the critical key resistance at $94,362 and is down 0.63% over the past 24 hours as the markets consolidate.

The Breakout of this resistance can be interpreted as the start of a new bullish trend.

All along, any break above it might not further lead it to move up, but if not able to surpass it, it might lead to further consolidation or even a retest of lower levels.

Moreover, Bitcoin’s 24-hour trading volume was $51.62 billion, down 13.57%. This indicates a drop in interest in the crypto king, which is not good news.

According to the Fear & Greed Index, market sentiment appears neutral to slightly cautious; in other words, there isn’t any firm conviction.

Technical Outlook Points to Consolidation

The technicals of Bitcoin paint a mixed picture as bulls and bears cling to life, yet no side has broken out to be significant.

The Average Directional Index (ADX) on the 4-hour chart is declining, hinting that the previous bearish phase is losing its power.

Yet, the broader price structure shows that it has formed a head-and-shoulders pattern. A break below the neckline support usually indicates that this bearish pattern is a potential reversal to the downside.

Bitcoin price stays above this crucial neckline for now, and traders are watching the level for any early weakness.

The technical picture continues to be complicated by the struggle around the $95,000 resistance.

However, for Bitcoin price to decisively break above this level would confirm a breakout and invalidate the formation of the bears’ Heads and Shoulders.

Without this, the cryptocurrency will likely remain range-bound between $92,000 and $95,000.