Throughout the Christmas and New Year holidays, Bitcoin’s price largely remained stable, showing little directional movement. However, over the recent weekend, it experienced a modest uptick. The week closed with Bitcoin trading at $91,489, slightly surpassing the short-term resistance threshold of $91,400. Should buyers maintain control above this point, they may attempt to challenge the next resistance near $94,000 this week—a level that has capped price advances since mid-November. Additionally, reaching toward $98,000 appears feasible within this timeframe.
Current Critical Support and Resistance Zones
The bullish camp aims to carry momentum into the new year by breaking through the $94,000 barrier. Beyond that lies a stronger resistance zone around $98,000 which intensifies up to approximately $103,500—this range is expected to act as a significant hurdle if prices climb past $94K. A formidable ceiling exists near $109K; overcoming this would open discussions about potential all-time highs.
On the downside support front: bulls will strive to defend around $87K if sellers push prices downward. Below that lies solid support at roughly $84K; however repeated tests could weaken it considerably. If this level fails decisively then attention shifts further downwards toward a robust support band between roughly $72K and 68K where rebounds might occur.
Forecast for This Week
The previously subdued bearish pressure has eased somewhat in recent weeks giving bulls an opportunity to advance prices higher towards upcoming resistance levels—expect renewed attempts at breaching or testing near-term hurdles like the key figure of 94 thousand dollars again soon. Should buyers fail to sustain above 91,400 during these sessions, look for defensive efforts around 87 thousand dollars aiming for another rally attempt targeting ninety-four thousand once more.
Market Sentiment: Neutral – Buyers have successfully upheld important supports recently while showing signs of upward momentum currently. Meanwhile, bearish sentiment has softened from prior strength into more balanced territory.
Looking Ahead Over The Next Few Weeks
The weekly chart reveals Bitcoin trapped between two technical boundaries: an upper trend line forming part of a broadening wedge pattern acting as resistance and below it sits its weekly 100-period simple moving average serving as support—this stalemate persisted several weeks until now when trend line resistance began weakening allowing bullish pushes higher temporarily.
Despite short-term gains though long-range outlook remains cautiously bearish overall.
Traders should anticipate any rallies topping out within coming weeks followed by retracements testing supports between eighty-seven thousand & eighty-four thousand dollars.
Weekly closes under eighty-four K would signal increased downside risk possibly dragging prices down toward low seventy-thousand levels next.
Conversely, sustained weekly closes beyond one hundred grand are required before considering shifts in longer term trends favoring bulls again.
A Quick Glossary:
- Bulls/Bullish: Market participants expecting or driving price increases (buyers).
- Bears/Bearish: Investors anticipating or causing price declines (sellers).
- Support Level: a price floor where demand typically prevents further decline initially but weakens after multiple tests leading potentially to breakdowns.
- Resistance Level: a ceiling limiting upward moves initially but becomes less effective after repeated touches making breakouts possible later on.
- SMA (Simple Moving Average): a calculated average closing price over specified periods used for trend analysis including RSI averages measuring relative strength index values similarly computed across timeframes.
- Broadening Wedge Pattern: a technical formation characterized by diverging upper and lower trend lines indicating expanding volatility with progressively wider highs and lows often signaling indecision before breakout directions emerge.
- Fibonacci Retracements & Extensions: numerical ratios derived from golden ratio constants Phi (1&period618) & phi (0&period618) used widely in technical analysis reflecting natural growth/decay patterns helping identify potential reversal zones or target projections.
This article titled “Bitcoin Weekly Analysis: Momentum Builds Toward $&num98,&num48;&num48 Amid Neutral Mood” originally appeared on Bitcoin Magazine authored by Ethan Greene – Feral Analysis alongside Juan Galt.