Bitcoin Bounces 5% From Support, Faces Key Resistance

Bitcoin (BTC) is currently trading around $79,052, having bounced sharply from the $75,328 support zone after a steep correction. Though a relief rally has taken shape, caution persists as BTC faces resistance at key levels. The price action across various timeframes suggests a potential reversal, with several chart patterns and indicators providing insights into the next move.

BTC appears to have formed a double bottom near $75,300, which could act as a potential reversal base. This bullish pattern would only be validated if the price breaks above $80,500–$81,000. Additionally, a falling wedge structure developed post-breakdown, and the price recently broke out with a volume uptick, indicating a potential short-term reversal toward higher resistance. A strong bullish engulfing candle formed near local lows, triggering the current bounce. This adds conviction to short-term buying pressure but needs follow-through above the mid-Bollinger Band.

Indicators such as Bollinger Bands show that the price bounced from the lower band and is now approaching the middle band ($80,477). A clear close above it would shift short-term sentiment bullish, with upper band resistance at $85,627. The MACD lines on the 4H and 1H charts have turned upward, with the histogram printing green bars—a bullish momentum signal. The crossover suggests increasing buying strength, though still early in confirmation. On the 4H chart, the RSI has climbed from oversold (below 30) to the neutral 45 range. Breaking above 50–55 will validate bullish momentum. Lower timeframes (15M and 30M) show RSI moving toward overbought territory, signaling potential short-term pullback. There was a surge in buy volume on the rebound, but recent candles are showing fading volume. Sustained demand is needed to break key resistance zones.

Key support levels are at $75,328 and $73,000, while resistance levels are at $80,500, $82,000, and $85,600. Bitcoin remains fundamentally strong with upcoming halving hype, ETF inflows, and growing institutional interest. However, macro pressures from rate expectations and equity volatility are tempering bullish enthusiasm. Regulatory developments, especially in the U.S., also add uncertainty.

BTC’s immediate challenge lies in breaking and holding above $80,500. If achieved, the next target lies at $82,000–$85,600. Failure to hold $78,000 could see a retest of $75,000. Confirmation of trend change depends on volume and MACD follow-through, making the coming sessions pivotal. This content is meant to inform and should not be considered financial advice. The views expressed in this article may include the author’s personal opinions and do not represent any organization’s opinion. Readers are urged to do in-depth research before making any investment decisions. Any action taken by the reader is strictly at their own risk.