Will Bitcoin Fall to $90K or Bounce Back Above $98K This Week?

Key Insights:

• Bitcoin struggles at $95K amid bearish pressure and ETF outflows.
• A breakdown below $94K may push BTC toward the $90K support level.
• Historical trends suggest Bitcoin could rally in March toward $103K.

Bitcoin price has dropped below the $96,000 levels, which can be seen as bearish sentiment at the beginning of a week. The market leader has gone around in cycles in the current week, touching the lowest of $93,340 and the highest of $99,508. However, BTC closed the week at $96,262 , posting a 0.14℅ increase from the opening prices.

However, some factors remain unpredictable, and this has pushed the prices of Bitcoin down. BTC is currently trading at $95,774 having dipped 0.57% intra-day.

The question that investors are still grappling with is whether Bitcoin price stands above the $94K support, or will see a drop to the $90k range.

Bearish Pressure Intensifies on the Daily Chart

Bitcoin’s daily chart reveals strong bearish pressure dominating its price movement. The asset remains above $95,000 but faces rejection from an overhead trend line. Additionally, resistance near $98,500 and the 50% Fibonacci retracement level has influenced BTC’s latest decline.

Despite this, Bitcoin price has shown resilience near the $95,000 mark, hinting at a potential rebound. Supporting this, the Money Flow Index (MFI) shows increasing inflows after bouncing back from oversold levels. Over the past 4 hours, Bitcoin price has gained 0.26%, with multiple rejections at lower price levels.

If BTC price maintains its current trajectory, it could challenge the 38.2% Fibonacci retracement level at $96,703. A bullish breakout from this zone could push Bitcoin price toward the $98,500 resistance. Further gains would bring it close to the 50% Fibonacci level, a key area for determining trend direction.

Conversely, if Bitcoin price fails to hold the $95,000 level it may go down to a lower level. Its breakdown would bring its price to the 23.6% Fibonacci retracement level at around $94,393. In case of a stronger bearish pressure, it will not take long for the BTC price to decline further to $90,000 .

Bitcoin ETFs Witness Massive Outflows

Notably, the U.S. spot Bitcoin ETF market has experienced significant outflows, adding to bearish sentiment. According to SpotOnChain, Bitcoin ETFs recorded a total outflow of $552.5 million last week. The four trading days saw consistent outflows, contributing to an 8% drop in BTC’s price.

This decline resulted in a weekly Doji candle, signaling market uncertainty. The Doji pattern often reflects indecision among traders, meaning Bitcoin price could move sharply in either direction.

Key Technical Indicators Show Mixed Signals

Technical indicators suggest Bitcoin’s next move remains uncertain. The Relative Strength Index (RSI) currently stands at 44, indicating neutral momentum. If RSI moves above 50, it could confirm renewed bullish strength. However, if it falls below 40, it would signal increased selling pressure.

Meanwhile, the Moving Average Convergence Divergence (MACD) indicator remains below the signal line, suggesting a bearish trend. A bullish crossover in MACD could indicate the beginning of an uptrend. Traders should watch these indicators closely for confirmation of the next move.

Will March Trigger a Bullish Comeback?

Despite the ongoing decline, historical trends suggest a potential bullish turnaround. Data from Coinglass shows that the Bitcoin price will post strong returns in March over the past four years. This pattern raises hopes for a recovery in the coming weeks.

If Bitcoin price follows this historical trend, the next rally could break the 50% Fibonacci resistance level. A confirmed breakout could push Bitcoin toward the 78.6% Fibonacci level at $103,393. Beyond this, BTC could target the supply zone near $108,000.

At the time of writing , Bitcoin price trades at  $95,556.93 and has been down by 0.63% in the last 24 hours. Market capitalization reached $1.89 trillion while the daily trade volume increased by 54.22% to $24.13 billion.

Disclaimer

In this article, the views and opinions stated by the author or any people named are for informational purposes only, and they don’t establish the investment, financial, or any other advice. Trading or investing in cryptocurrency assets comes with a risk of financial loss.