Bitcoin Tests Key Support Level – Will the Bulls Charge or Retreat?
Bitcoin’s price action takes a breather as it dips toward the daily EMA 8—a critical juncture for traders watching for the next big move.
Market sentiment hangs in the balance: Will buyers step in to defend this level, or will bears seize control? The crypto crowd holds its breath—another day in the volatile casino of digital assets.
Meanwhile, traditional finance pundits clutch their pearls and whisper about ’tulip mania’—right before quietly allocating another 2% to BTC.
Bitcoin Steady As Market Uncertainty Grows
Bitcoin continues to show resilience in the face of persistent macroeconomic uncertainty. As US Treasury yields remain elevated and volatility sweeps across global stock markets, BTC has managed to hold strong after recently pushing into new all-time highs. While many risk assets falter under these conditions, Bitcoin is proving its narrative as a macro hedge, attracting interest from institutional and retail investors alike.
However, despite its recent breakout to $112,000, the rally has not yet been confirmed as a sustainable bullish phase. Analysts widely agree that a clean break above $115,000 is essential to trigger the next leg of price discovery. Without that confirmation, the current MOVE could be seen as an overextension, especially amid broader market instability.
Cheds shared a key technical insight this week, noting that Bitcoin is now back at the daily EMA 8 level—a moving average that has acted as reliable support since the $80K range. This suggests that the current pullback could be a healthy retest of trend support rather than the start of a deeper correction.
If BTC manages to bounce from this level, bullish momentum could resume quickly. But if the EMA 8 fails, downside risk may increase, especially if traditional markets continue to slide. For now, all eyes remain on how Bitcoin reacts at this technical crossroads.
BTC Retests Key Level As Uptrend Pauses
Bitcoin is currently retesting key technical levels following its sharp rally to a new all-time high NEAR $112,000. As shown in the 4-hour chart, BTC has pulled back to the 34-period EMA (currently around $107,800), a level that has served as reliable dynamic support during this uptrend. The latest candle action shows buyers stepping in slightly above this area, suggesting it’s still holding.
Price is also hovering just above the 50-SMA at $106,273, reinforcing this zone as a confluence of support. Volume has picked up slightly on the pullback, which could indicate healthy profit-taking rather than panic selling if this level holds, a continuation toward the previous high, and potentially a push above $112K remains on the table.
However, if the support fails and BTC dips below $106K, eyes will shift toward the next major horizontal support at $103,600. A drop to this region WOULD still be technically valid within the broader uptrend but could shake short-term bullish momentum.
Featured image from Dall-E, chart from TradingView
