Bitcoin Struggles at $108,252 Resistance, 21MA Support Holds

Bitcoin is currently trading within a descending channel, with the cryptocurrency facing resistance near the $108,252 mark. This resistance level has repeatedly acted as a ceiling, capping any bullish advances. The price action of Bitcoin lacks strong directional conviction, with sellers being aggressive at the top of the channel and buyers finding demand at the 21-day moving average (21MA), which is just below the current price.

The 21MA has been providing dynamic support throughout recent sessions, and market participants are closely watching to see if Bitcoin can break out of the downward channel. A breakout above the channel could shift the short-term momentum upward, but this would require strong trading volume and ongoing purchasing power. The resistance at $108,252 has remained intact, preventing a decisive breakout from the descending channel. Price action over the last sessions repeatedly approached this level but failed to close above it, indicating that sellers are yet to relinquish this zone.

Regarding the daily range, Bitcoin was traded within the boundaries of $107,933 and $108,252 over the last 24 hours. This little range demonstrates the constant tension between purchasers and vendors. Furthermore, the concentration on resistance indicates lengthiness on the part of bulls unwilling to drive prices above the upper edge of the channel without reinforced momentum. As we connect these observations to the broader channel structure, it becomes clear that Bitcoin remains vulnerable to further consolidation. The market awaits a catalyst to break this deadlock.

On the downside, the 21MA still provides dynamic support as it remains below the price. The current consolidation is being supported by a long-term hold above this moving average. But a decisive collapse below the 21MA may welcome a fresh wave of selling due to the channel it takes downwards. Such a situation would probably prolong the current bearish trend in Bitcoin and lead to prices retesting the lower channel line. Traders will watch how the price action reacts to this moving average.

Overall, the next directional shift of Bitcoin will probably depend on its ability to break the support at $108,252, or the inability to form the support at 21MA. This has left the market at a significant crossroads awaiting resolution. The cryptocurrency is currently trading at $108,033, with a small 0.1% increase over the last 24 hours. Despite this minimal increase, however, Bitcoin continues to see selling pressure near its channel resistance. The top of this channel, established at approximately $108,252, has repeatedly acted as a ceiling, capping bullish advances.