Bitcoin’s price appears to be sluggish as we move into this week. Last week, prices faced another rejection at the $94,000 resistance level. The bulls struggled to find any momentum as the price continued to decline into Sunday, ultimately closing at $88,170. This week, the bears are aiming to breach the $84,000 support level, potentially driving the price down into the low $70,000 range. The bulls are making a concerted effort to maintain the $84,000 level as a support point, yet it faces the risk of faltering under another challenge. This week, the $84,000 support level is once again facing pressure, as bears aim to push the price down beneath it for the first time. The bulls face a slim opportunity to defend the $85,000 level, but maintaining this position seems improbable without a significant influx of buying volume.
The support zone between $72,000 and $68,000 is expected to act as a strong floor during initial tests. If the price approaches this level, it may take several weeks to see a breakdown through it. Bulls are set to defend the 0.618 Fibonacci retracement support level at $57,000. At elevated levels, a resistance zone has formed, stretching from $94,000 to $118,000. If bulls can manage to finally conquer $94,000, they will look to $101,000 next, although sellers should step in strongly above $97,000. Once we surpass $101,000, the journey to $107,000 is expected to be gradual.
To break through this dense zone and reach $118,000, additional buying pressure would be essential above $107,000. Given the current price action, none of these levels appear to be within reach in the near future. Last week’s close with a red candle was certainly not the outcome the bulls were hoping for regarding Bitcoin. The bears have taken a well-deserved break in recent weeks and are poised to regain their strength this week. Expect the bears to make a move to breach the $84,000 support level at some stage this week, while bulls may aim to establish a bounce to uphold higher lows in the $87,000 to $85,000 range. If the price falls beneath $84,000 this week, an acceleration towards at least $75,000 is anticipated, with a strong possibility of dipping into the low $70,000 range.
Market sentiment: Highly Negative – Bulls had an opportunity to elevate the price beyond short-term support in recent weeks but were unsuccessful in their attempts. The bears are firmly in control and appear to be well-rested, poised for a resurgence in selling pressure to the downside. Sellers experienced a welcome respite in recent weeks, as buyers managed to merely halt the prevailing bearish momentum. Bears are poised to capitalize on this opportunity to breach the $84,000 support level. In the upcoming weeks, keep an eye on the support zone in the $72,000 to $68,000 range as it is expected to be tested. However, a robust rebound is anticipated from this zone following an initial test. If this zone is reached, anticipate a price re-test of the $84,000 level from that point, with the possibility of an even more significant bounce. This zone presents a potential opportunity for a reversal from the bear market; however, if the “4-Year Cycle” remains valid, we could see prices testing lower as we move further into 2026.