Did Bitcoin Just Turn Bullish With a 5% Rebound? 2 Resistance Levels Say Not Yet
Bitcoin rebounded 5% from a falling wedge support, showing a rare on-chain divergence, but faces two key resistance levels before confirming a bullish trend reversal.Summary
Bitcoin recently rebounded nearly 5% after touching the support of a long-term falling wedge near $88,400. This bounce is supported by a rare on-chain divergence in the Spent Output Profit Ratio (SOPR), where the price made a lower low while SOPR made a higher low, historically signaling a bottom.
However, for this bounce to confirm a bullish trend reversal, Bitcoin must overcome two significant supply zones identified by URPD data and technical analysis. The first critical resistance is around $95,700, which aligns with a previous rejection point. If this level is cleared, the next major hurdle is near $100,200, which is a Fibonacci barrier situated just below a major supply cluster at $100,900.
While the combination of the wedge bounce and the on-chain divergence increases the probability of a bottom forming, the price action remains inconclusive until these two resistance levels are decisively broken. Failure to hold the recent low near $88,400 risks further downside movement.
(Source：BeInCrypto)