Bitcoin is showing signs of strength following a sharp decline, reclaiming key support levels, according to market analysts.
Crypto analyst Crypto Patel noted in a recent update that Bitcoin has completed a technical move by filling the Fair Value Gap (FVG) and reaching the Bearish Order Block, as previously projected. Traders positioned for upside likely benefited from a long setup, Patel added.
Analysts turn bullish as BTC holds above $90K
Attention is now shifting to Bitcoin’s next major target. Patel highlighted a higher-timeframe FVG, representing the upcoming imbalance zone, and expects Bitcoin to reach this area before any significant corrective movement. This outlook aligns with a broader macro perspective anticipating an upward sweep toward the zone before momentum begins to slow.
Patel identified a clear invalidation point for the bearish outlook, noting that a sustained high-timeframe close above a significantly higher level would break the existing bearish market structure. Such a move, he said, could mark the start of a new bullish phase for Bitcoin, potentially setting the stage for a fresh all-time-high trend.
Analyst The Boss also highlighted early signs of strength in Bitcoin’s recent price action. Following the sharp decline, the cryptocurrency found support at a key level and rebounded, signaling renewed buyer confidence. The chart shows a stable support zone that has withstood downward pressure, The Boss added.
The rebound appears partly driven by improving macro sentiment, including softer expectations for Federal Reserve tightening, a rise in overall risk appetite, and a shift toward risk-on assets, according to analyst The Boss.
From a technical standpoint, The Boss noted that Bitcoin must maintain its position above the support range to form a meaningful upward wave. However, the analyst cautioned that without confirmation from momentum indicators and sustained trading volume, the current move could be limited. Following the recent sharp sell-off, there remains a risk of a dead-cat bounce, The Boss added.
