🟢Bitcoin (BTC) has been trading below $100,000 for over two weeks now. Technical and on-chain data indicate that the price is likely to remain stuck below this critical level for a long time.
🟢$1 trillion anniversary didn't help sort out $100,000
On this day in 2021, BTC's market cap surpassed $1 trillion for the first time. It has nearly doubled since then, and is now at $1.9 trillion.
Despite celebrating this achievement, Bitcoin's price dynamics remain sluggish, still being below $100,000. The balance between bullish and bearish pressure keeps the coin in a narrow range since the beginning of February.
However, the daily chart of BTC/USD shows that the bearish scenario is gaining strength. The Relative Strength Index (RSI) reflects bearish pressure. At the time of writing, it was below the neutral line of 50 at 44.29.
🟢The RSI value of 44.29 indicates that selling pressure is stronger than buying momentum, but it has not yet reached the oversold level (30). This means that the price has room for further decline or possible consolidation before a trend change.
The Moving Average Convergence Divergence (MACD) indicator also supports the bearish forecast. At the time of writing, the MACD line (blue) is below its signal line (orange). This positioning of the lines relative to each other indicates bearish momentum, suggesting that the price decline may continue. Traders see this as a potential sell signal, which reinforces market pressure.
🟢BTC at a crossroads: a drop to $90k or a breakout above $100k.
At the time of writing, Bitcoin is trading slightly below strong resistance at $99,805. As BTC sell-offs intensify, it risks breaking out of the narrow range into a downward trend. In this case, the coin's price could fall below $90,000 and reach $89,434.
🟢On the other hand, a revival of bullish pressure in the market could cancel the bearish scenario. In this case, the price may break through the resistance at $99,805, hit the barrier at $100,000, and try to reach the historical maximum of $109,350.
