Key Points
- Bitcoin dipped less than 1% as market volatility persists.
- The leading cryptocurrency could retest the $87,000 support level before any sustained rebound.
BTC Price Action Remains Volatile
The cryptocurrency market continues to struggle, with BTC and other major tokens showing losses. Bitcoin fell about 0.7% over the past 24 hours and is trading near $89,150.
After this week’s sell-off, the broader crypto market is attempting to stabilize. Bitcoin opened the week weak and closed below a key technical support: the 50-day exponential moving average (EMA) at $91,942.
Bulls tried to hold the psychological $90,000 level but failed. Bitcoin pushed down to retest the midpoint of the parallel channel at $87,787 before beginning a modest recovery. At the time of writing on Friday, BTC was trading around $89,175.
Will Bitcoin Rise Above $91,000 Soon?
If the recovery continues, Bitcoin could extend its bounce toward the first major resistance and the 50-day EMA at $91,942.
On the 4-hour chart, the Relative Strength Index (RSI) stands at 39 and is pointing toward the neutral 50 level, indicating that bearish momentum is easing. For bullish momentum to sustain, the RSI needs to climb above that neutral mark.
However, the Moving Average Convergence Divergence (MACD) showed a bearish crossover earlier in the week, signaling some downside pressure.
If the rebound falters and the daily candlestick closes below the $87,787 support, Bitcoin could extend its decline toward the consolidation zone around $85,569.
Market conditions remain choppy and lack a clear directional bias. Geopolitical trade tensions between the U.S. and the EU over the Greenland issue have already erased much of the gains Bitcoin accumulated earlier this month.
Although those tensions appear to be easing, Bitcoin’s price action has not shown a notable improvement so far.