After inflation data scared investors, triggered long liquidations, and caused Bitcoin to fall below its initial support level, it is now trading at around $81,000.
Analysis shows that the price is exhibiting an upward trend and may continue to rise to $93,000.
Between $80,000 and $104,000, the resistance range from $83,000 to $84,000 is the most important hurdle.
Bitcoin ( BTC ) fell 2% in the past 24 hours, trading at $81,698. Previously, U.S. inflation data exceeded expectations, increasing the likelihood of another interest rate hike by the Federal Reserve. Meanwhile, there was a long liquidation of $63.17 million in the past day, and the price dropped below the support range of $82,000 to $83,000, further exacerbating the decline. Institutional funds are also withdrawing; since late September, the capital flow for Bitcoin ( ETF ) has turned negative.
Despite recent pullbacks, technical analysis indicates that Bitcoin may be preparing to hit $93,000.
As shown in the figure below, since August, Bitcoin has been trading within an upward channel on the 4-hour chart. If the price rebounds from around $80,000, BTC could first rise to the middle range of $88,000. At that time, if it can maintain positive momentum, it may further explore the upper limit of the channel at $93,000.
What also supports this judgment is the similarity between this year's charts and those from 2023. In the latter case, not long after Bitcoin crossed above the 200-day SMA line on the 50-day simple moving average line (SMA), it saw a rise of 40%.
In addition, the proportion of large whales in Bitcoin exchanges has continued to decline over the past week. This indicates that these large whales are transferring BTC from exchanges to longer-term storage addresses, or in other words, they are hoarding coins.
Next prices to watch out for
UTXO has implemented a price distribution chart ( URPD ) that shows that the resistance between $83,000 and $84,000 is the strongest, as BTC there have been the most transactions in this area previously.
Thereafter, the resistance level between $87,000 and $95,000 is relatively balanced, with $89,000 being a price point that requires special attention. If the price breaks through this level and maintains a continuous upward trend, it indicates a potential further advance towards the next resistance level of $104,000.
