Bitcoin remains stable within a descending range, displaying minimal directional clarity, while various altcoins are steadily gaining strength. As the market consolidates, these smaller cryptocurrencies may signal early upward movements ahead of a BTC breakout.
Key Resistance Levels: $90,588 And The Descending Trendline
A recent update from Kamile Uray indicates that the crucial levels on the daily chart remain unchanged, with attention focused on the $90,588 mark and the descending blue trendline. Unless BTC manages to close above these levels, the current downtrend may persist. Any upward movements beneath the blue descending trend are seen as corrective rather than indicative of a trend reversal.
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The initial support zone to watch during this downward trend lies between $83,822 and $82,477. A daily close under $82,477 would indicate a continuation of the downtrend and could lead to the $74,496–$71,237 range, highlighted by the blue box. This lower zone is considered a strong support level where buyers may re-enter the market.
Therefore, a clear confirmation of a reversal is essential before considering any significant upward movement. Once confirmed, a rally towards the blue descending trendline could commence, testing various resistance levels along the way.
For a decisive resumption of the uptrend, BTC must close above $90,588 and break the descending resistance. Meanwhile, a daily close above $94,130 would confirm the break of the blue descending trend, potentially indicating a shift towards sustained bullish momentum.
LTF Movements Show Reduced Impulse, Yet Structure Remains Intact
Crypto analyst The Penguin pointed out that the lower time frame (LTF) is demonstrating slightly less impulsive behavior, yet the overall count remains stable. Recent LTF movements appear more like noise and do not impact the broader wave count, maintaining confidence in a leading diagonal for wave 1.
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Setting aside Elliott Wave analysis for a moment and focusing on standard technical analysis, BTC is clearly adhering to a defined range. Consequently, a slight deviation toward the 0.886 level marked on the chart is being closely monitored as a possible entry point.
Bullish confirmation will materialize if BTC can close and maintain above $90,500, invalidating the current bearish outlook and signaling the potential for a more sustained upward trend. Until that occurs, short-term fluctuations are viewed as regular noise, especially with the annual open approaching.
On the altcoin front, momentum seems to be holding, indicating possible upside. Some altcoins, such as XPL, are already showing outperformance, suggesting that while BTC consolidates, certain alts are beginning to rise.
Featured image from Getty Images, chart from Tradingview.com
