Bitcoin Approaches the Critical $90,000 SupportBitcoin has registered a decline of more than 4% over the past two trading sessions, and for now, the bearish bias remains strong.
This downward pressure is fueled by major security breaches on the Bybit exchange, where approximately $1.4 billion in funds were stolen. This event has eroded confidence in Bitcoin, leading to sustained selling pressure in the short term.
Sideways Range Remains Intact
For now, Bitcoin continues to trade within a well-defined sideways range, respecting the $106,000 resistance and the $90,000 support levels.
The price has broken below the short-term uptrend, which had previously supported bullish momentum and Bitcoin is now approaching the lower boundary of this critical range.
As long as the price remains below the 50-period simple moving average (SMA), the bullish momentum from January may fade, leaving sellers in control.
The current sideways channel is the most important technical formation, as it may determine Bitcoin’s future trend.
TRIX Indicator:
The TRIX line has recently turned bearish, bringing price oscillations down to the 0 neutral level. If this level crosses into negative territory, it could signal that sellers have gained full control over price momentum. This could further reinforce the ongoing bearish pressure.
MACD Indicator:
The MACD histogram remains below the neutral 0 level. Both the MACD line and the signal line are following the same downward movement as the histogram.
If price action continues to move further below 0, it would confirm that the short-term moving averages are predominantly bearish, reinforcing the selling bias.
Key Levels to Watch:
$106,000 – Major Resistance:
The most important resistance level at the top of the current sideways channel.
A break above this level could reactivate the uptrend that was in place a few weeks ago.
$98,000 – Key Resistance:
New resistance level aligning with the 50-period SMA barrier.
If price approaches this level again, it could reinforce short-term neutrality, keeping the sideways channel intact.
$90,000 – Critical Support:
The key support level at the lower boundary of the sideways range.
If Bitcoin reaches and breaks this level, the current bearish bias could become significantly stronger, potentially leading to a confirmed downtrend.
By Julian Pineda, CFA – Market Analyst
