Bitcoin’s recent journey has been anything but dull. After nearly touching $98,000 last Friday, the price pulled back to find support at $94,000 by Sunday. Now, investors are watching closely—wondering if this is just a pause before a new rally or the start of a deeper decline. With a higher low in place, some signs point to potential upward movement, possibly even breaking past the $100,000 barrier.
In the wider economic landscape, uncertainty still lingers. The global market remains on edge ahead of Wednesday's FOMC meeting, where Fed Chair Jerome Powell is expected to speak. Add to this the ongoing anxiety surrounding U.S. trade policies, and it’s clear that confidence is fragile.
Trade Talk Timeline Feels Tight
There’s buzz around the U.S. aiming for “90 trade deals in 90 days”—a goal that, while ambitious, seems unrealistic. According to the Peterson Institute for International Economics, past trade agreements have taken an average of 1.5 years from start to finish. If even a handful of deals are pushed through by summer, market optimism could surge, barring any major economic shocks.
Stock markets tend to look 6 to 18 months ahead, and with the recent rally, there's cautious optimism. If the rally continues, it might be the market’s way of betting that these deals will materialize.
A False Start, but Hope Remains
On the short-term chart, Bitcoin’s rise to nearly $98,000 turned out to be a false breakout. The price couldn’t hold its position above the top of the triangle pattern and slipped to touch the lower trendline. Still, it bounced back—and that's significant. If it stays above the current support, a breakout might be back on the cards. Technical indicators like the Stochastic RSI are showing upward signals across multiple timeframes.
Healthy Correction Could Fuel the Next Move
Zooming out to the daily chart, the recent dip may actually be healthy. A straight-line rally isn’t sustainable, and retesting the $94,000 support gives the trend a solid base. If this level holds, we’ll have a higher low on the chart—an essential ingredient for a continued uptrend. The next key resistance lies around $99,500, with eyes eventually set on the critical $106,000 mark.
Weekly Chart: Bulls Need to Defend $94,000
On the weekly timeframe, things are more black and white. Bitcoin must hold the $94,000 support. The last weekly candle closed just below it, leaving a noticeable wick. For the bulls to regain control, the price needs to confirm above this level in the coming sessions.
Momentum indicators remain bullish for now, but time is running short. If Bitcoin fails to reclaim higher ground before momentum fades, this rally could fizzle out.
Final Thoughts
Right now, Bitcoin is walking a tightrope between bullish hope and bearish concern. The next few days will be telling. As always, this insight is meant for informational purposes only and should not be taken as investment advice.
