Bitcoin Consolidates Above $94,000, Eyes Breakout Past Key Resistance

As it stands today, Bitcoin (BTC) is consolidating upwards and above the $94,000 level. Signs are positive that it might explode beyond the key resistance level of $95,500. Bitcoin price found support near $93,500 and started a fresh increase. It blasted through $94,200 and the 100 hourly simple moving average. Investors and financial analysts alike have been keeping a hawkish eye on these movements to predict the cryptocurrency’s next step.

Current Trading Scenario

BTC increased its strength after remaining traded above the $94,200 support level, which is held by the 100 hourly simple moving average (SMA). That signals a level of support and demand at these price points. A bullish trend line is creating with support up $94,200 on the hourly chart of the BTC/USD pair. This bullish development serves to further strengthen that support level as the immediate support. This latest blockchain boom sent Bitcoin’s price above the $94,000 and $94,200 resistance levels. That’s the perfect setup for a breakout!

On the downside, Bitcoin to USDT has a strong immediate support at about $94,200, which coincides with the trend line. It has hit strong resistance at $95,250. The main immediate upside resistance level to watch is still around $95,500. Surpassing this resistance would be the catalyst to send us on a huge bullish rally. Such a move could clear the path towards the next resistance level at $96,250.

Potential Downward Correction

In light of all this positive momentum, Bitcoin (BTC) has recently faced challenges breaking above the $95,500 resistance level. This failure opens up the downside for a retest of the September correction low. The following major support level is set at $93,500. If the drop continues, Bitcoin could look for support at the $92,900 level.

If sustained selling pressure sets in, Bitcoin prices will drop dramatically. In the immediate future, it could test the key support level at $91,200. These support levels are critical to preventing deeper price declines. As a result, they could turn into the best opportunities for investors to step in and accumulate Bitcoin at lower prices.

Key Levels to Watch

The near-term resistance is at $95,250. For any hope of a breakout with real potential to sustain, we must clear that crucial resistance at $95,500. An emphatic breach of $95,500 would open the door for an attempt on $96,250 resistance.

On the negative side, major support levels are seen at $94,200 and then at $93,500. If a break below these levels, we may see even more downward movement with next support expected at $92,900 and then $91,200. Watching these levels will be key in determining the short-term direction of Bitcoin’s price.