Bitcoin Faces Challenges at $108,350
Bitcoin is struggling at the $108,350 mark. The coin has been unable to break through this resistance level for a week. This failure hints at a possible price drop towards $100,960.
A bearish divergence is forming. this means the Relative Strength Index (RSI) is weakening while the price tries to rise. This suggests the recent price hike may be losing steam. If sellers take control, the price could fall back to $100,960.
Here are the key points:
- $108,350 is a tough barrier. It’s a high-value area that’s hard to surpass.
- The RSI is showing lower highs, even as the price climbs. This indicates weakening momentum.
- Trading volume is also dropping, showing less interest in buying.
Bitcoin’s inability to break $108,350 signals a bearish trend. The price has formed a lower high, which is not a good sign. This level has repeatedly rejected the price, making it a supply-heavy zone.
Without a strong breakout, the price may stay in its current range. The bearish divergence is a classic sign of exhaustion. It suggests the recent rally may have been driven more by short-term momentum than sustained buying interest.
Volume has been steadily declining throughout this consolidation. In the context of technical resistance adn divergence, this weakening volume reinforces the bearish bias. For a breakout to occur, strong volume would need to confirm a shift in demand. Without that, price is more likely to roll over and test the next key support — the point of control and eventually the value area low at $100,960.
What’s next for Bitcoin?
if Bitcoin stays below $108,350,it may fall to $100,960. A strong breakout above $108,350 could change this bearish view. Keep an eye on volume and price action for clues.
