Bitcoin Faces Resistance at Key Supply Levels
- Bitcoin has risen over 12% from a low of $80,000 last week.
- The cryptocurrency is approaching critical supply clusters between $93,000 and $108,000.
- These clusters were formed by significant buying earlier in the cycle and may act as resistance.
- BTC is trading below its previous support level, the 50-week moving average.
- The market remains in a decisive phase with elevated trading volume reflecting recent capitulation activity.
Bitcoin’s recent recovery faces challenges as it nears major supply zones that could impede further gains. These areas are where many investors are at breakeven or underwater, potentially leading to increased selling pressure.
A sustained breakout above $92K–$94K would indicate stronger recovery prospects for BTC, while failure to do so could result in another test of the $80K support level. (Source)
