- BTC was trading within a rising wedge, with $86,400 acting as a crucial resistance level.
- A breakout above $86,400 could push BTC toward $90,000, while a rejection may lead to a drop below $80,000.
Bitcoin [BTC] has been consolidating within a rising wedge pattern, with a critical resistance zone looming at $86,400. The price recently surpassed the $83,800 resistance level and successfully retested it as support.
This level now serves as a key pivot point for BTC’s next major move.
Traders are closely watching the $86,400 region, which could dictate Bitcoin’s short-term trajectory, either confirming a breakout toward higher price levels or triggering a reversal below $80,000.
Bitcoin’s position inside the rising wedge
The rising wedge pattern, visible on the lower timeframes, shows Bitcoin trading within an ascending structure. While this setup can indicate bullish continuation, it often precedes bearish breakouts.
The press time price of BTC was $84,263, still within the wedge but approaching the upper boundary. Volume analysis showed declining activity, suggesting buyers may be losing momentum as Bitcoin neared resistance.
The RSI [Relative Strength Index] was hovering around neutral territory, meaning there was no strong overbought or oversold signal yet.
However, a rejection could become more probable if BTC pushes toward $86,400 and the RSI moves into overbought levels.
Key resistance and support zones
Immediate resistance was at $86,400, which remains the key hurdle. A successful break above this level could see Bitcoin extend toward $90,000 and potentially $95,000 if momentum sustains.
Major support lay at $83,800, which was recently tested as support and was crucial for holding Bitcoin’s bullish structure. If this level fails, BTC could revisit $81,700 and possibly dip below $80,000.
Source: TradingView
Fibonacci levels indicate that the 0.618 retracement level aligns near $86,900, further strengthening the resistance zone.
On the downside, the 0.786 level at $78,300 could serve as strong support if BTC fails to hold above the wedge.
What happens if BTC breaks the wedge?
A clean breakout above $86,400 would invalidate bearish concerns, leading to a bullish run toward $90,000 or higher.
However, if BTC fails to maintain the wedge structure, it could result in a sharp drop, with initial downside targets near $81,700 and $78,300.
Market participants should monitor volume and RSI behavior closely to assess breakout strength.
At the moment, Bitcoin is at a pivotal point, with traders awaiting confirmation on whether the resistance will hold or break. The next few days will be critical in determining BTC’s next major price movement.
