Bitcoin Breaks RSI Downtrend, Eyes $100,000 Amid Bullish Signals

Bitcoin (BTC) has recently broken its daily Relative Strength Index (RSI) downtrend, which had been in place since the start of the year. This breakout occurred after Bitcoin hit a low of nearly $76,000 on March 10, and it is now trading in the high $80,000s. The RSI is a momentum indicator that suggests when an asset may be overbought or oversold. A rising RSI after a sustained downtrend can indicate growing bullish momentum and a possible trend reversal.

Crypto analyst Rekt Capital highlighted this breakout in a recent post, sharing a Bitcoin daily chart that showed the leading cryptocurrency’s RSI breaking free from its prolonged downtrend. Fellow crypto analyst Merlijn The Trader echoed this analysis, stating that the RSI breakout confirms bullish momentum and could pave the way for a significant price rally.

Another key indicator that turned bullish this week is the Bitcoin Hash Ribbons. Crypto analyst Robert Mercer noted that one of the most accurate mid-term indicators is now bullish, expecting BTC to go back above $100,000 in Q2 of 2025. The Hash Ribbons indicator turning bullish signals that Bitcoin miners, after a period of capitulation, are returning to the network. This suggests mining recovery and reduced selling pressure, often marking a strong buy signal and historically aligning with the end of bear markets and the start of new uptrends.

Despite Bitcoin’s more than 15% surge from its March 10 low, seasoned analyst Ali Martinez cautions that the top digital asset is likely to encounter strong resistance around the $89,000 level. Martinez explained that Bitcoin faces a key resistance cluster at $89,000, where the 50-day moving average and the descending trendline from the all-time high converge. This resistance could potentially hinder Bitcoin’s upward momentum.

Several positive macroeconomic factors could support BTC’s bullish momentum. Crypto analyst The M2 Guy emphasized that the expanding M2 money supply is likely to benefit risk-on assets like BTC. However, other cryptocurrency analysts, such as Maartunn, argued that BTC must decisively clear the $87,000 price level to have a shot at sustained upward price movement. At the time of writing, BTC was trading at $87,674, down 0.7% in the past 24 hours.

In summary, while Bitcoin has broken its daily RSI downtrend and shown signs of bullish momentum, analysts warn of strong resistance ahead. The $89,000 level is identified as a key resistance cluster, and Bitcoin must decisively clear the $87,000 price level to sustain its upward movement. Positive macroeconomic factors, such as the expanding M2 money supply, could support BTC’s bullish momentum, but caution is advised as resistance levels are approached.