Bouncing off from the recent retest of $93,540, Bitcoin has regained bullish momentum. Sustaining above a local support trendline, the BTC price is likely to bounce towards the $100,000 mark.
Currently, Bitcoin trades at a market value of $96,191, hinting at a potential morning star pattern. Will this reversal pattern propel BTC price back to $106,000 levels? Let’s find out.
BTC Price Aims Ascending Triangle Breakout
In the daily chart, the BTC price trend showcases a bearish reversal from the $106,000 resistance level. This downfall has retested a short-term support trendline, creating an ascending triangle pattern.
The ascending triangle pattern is generally considered bullish, often leading to a breakout rally. Currently, the reversal from the support trendline hints at a potential retest of the overhead ceiling near $106,000.
However, prior to this critical ceiling, Bitcoin faced a crucial resistance near $100,000. As a psychological mark, the $100,000 level has provided multiple support and reversal points over the past few weeks.
Currently, the intraday recovery of 0.61% in Bitcoin hints at a bullish candle after three bearish days. This hints at a potential morning star pattern near the support trendline.
BTC Price Targets
The morning star pattern is generally considered a reversal pattern, adding credibility to a bullish reversal when formed near a crucial area of interest. Supporting the upside chances, the MACD indicator showcases the MACD and signal lines on the verge of a bullish crossover.
If BTC breaks above the 50% prognosis level, this critical resistance is priced at $98,499. Beyond this, Bitcoin is likely to rally smoothly if it regains the $100,000 mark.
In case of a triangle breakout rally, Fibonacci levels project BTC price targets at $110,000 and $115,000. On the flip side, crucial support levels underneath the support trendline are at $94,277 and $90,000.
Analysts Predict Bitcoin’s Strong Comeback
Supporting the chances of a bullish reversal, analysts are projecting a Bitcoin comeback. Ali Martinez, a crypto analyst, highlights that BTC long-term holders are in a denial phase based on long-term holder MUPL data.
Historically, the denial phase has preceded major market shifts, hinting at potential market strength. Furthermore, the stochastic RSI indicator has entered the oversold region in the weekly chart. As per Titan of Crypto, the stochastic RSI entering the oversold region also signals a reaccumulation phase for Bitcoin.
There is a strong hint at a potential bounce-back as Bitcoin enters the oversold region.