Bitcoin Price Faces Tough Test At $90K. Is A Pullback In the Offing?

Summary:
• Bitcoin price briefly crossed into the $90k territory on Tuesday, but then slid to as low as $85k. What does it mean? and is $100k feasible?

Bitcoin price was marginally down on Wednesday, seeing its attempt to break into the $90k territory thwarted for the second successive day. BTC traded at $87,902 at the time of writing, down by 0.1 percent on the daily chart and signalling potential back-to-back declines for the first time in nine days. Ironically, it came a day after the coin hit a new all-time high price of $90,243.

What are Bitcoin’s chances of hitting the $100k mark?

The crypto market bellwether ended trading down by 0.83 percent on Tuesday after briefly breaking through the psychological barrier at the $90k mark. For crypto market enthusiasts, stability inside that territory is important, not only because it would mean new record highs, but also because it could bring Bitcoin price closer to the long-awaited $100,000 milestone.

A six-figure price would certainly generate a mindset shift about Bitcoin in the mainstream financial ecosystem. And that moment doesn’t seem too far. The Trump momentum is still at play and the market is still waiting for announcements around the digital assets regulatory environment.

However, the market momentum could slow down significantly, potentially triggering a pullback if Bitcoin heads into the weekend below the $90k mark. Weekend trading is typically slower, much as crypto markets are open throughout. Bitcoin’s 24-hour traded volume was down by 33 percent at the time of writing, according to CoinMarketCap. That said, the current rally still has significant traction provided by the halving event, which caters for the supply-side of the market.

Bitcoin price prediction

Bitcoin price pivots at 87,719, and the uptrend is likely to continue if the buyers keep the price above that level. That could see the first resistance come at 88,171, but an extended bullish momentum could break above that level and test 88,661.

Alternatively, moving below 87,719 will hand over control to the sellers. If that happens, the BTCUSD could find the first support at 87,425. However, a stronger downward momentum could break below that level and invalidate the upside narrative. In addition, it could result in an extended decline to test the second support at 86,772.