Bitcoin, having rebounded robustly from its September lows, is currently trading between $86,000 and $86,300. The price has sustained above key moving averages on the daily chart, signaling a continued bullish trend. This surge positions the cryptocurrency near its late September peak of approximately $87,000.
Resistance Levels Critical on Road to $90,000
Futures order data highlights three pivotal resistance zones in the short term. These levels, situated around $86,900, $87,700, and $88,000, are areas where significant sell orders have accumulated, reflecting market participants’ close watch. Despite ongoing upward attempts, these barriers suggest that the advance may not be seamless.
The $86,900 threshold holds particular significance as recent price movements have repeatedly intersected with it. Previously, Bitcoin ascended to about $87,000 before retreating into the $83,000 to $85,000 range. A convincing breach of the $86,900 level would be noteworthy, not only for technical reasons but also for overcoming the concentrated selling pressure in derivatives markets.
Stability above $86,900 is vital for Bitcoin to convincingly surpass its recent local peak.
Psychological Barrier at $88,000
The next major resistance resides at $87,700. The proximity between this and the first resistance zone indicates that new supply might emerge quickly once $86,900 is crossed. Failure to break through this segment could keep Bitcoin below its recent high.
Standing at $88,000, the third resistance zone harbors one of the largest visible sell orders. As a round figure, it also holds psychological significance within the market. Should Bitcoin surpass this level, the gap to the $90,000 threshold would narrow to approximately 2.3%. The subsequent major resistance cluster appears to lie around and above $90,900.
Overcoming the $88,000 level will significantly close the gap to $90,000 for Bitcoin.
Indicators Support Upward Momentum, But Confirmation Lacks
In the short term, momentum indicators are backing a new ascent attempt. The daily Relative Strength Index (RSI) has recovered to the upper neutral band, although it has not yet approached overbought levels. The RSI measures the speed and strength of price movements, suggesting currently that while momentum is building, the market has not overheated.
In brief: RSI, or Relative Strength Index, evaluates the speed and strength of price movements. Typically, values above 70 indicate overbought conditions, while below 30 suggest oversold scenarios.
Nevertheless, large sell orders in futures markets are not regarded as definitive obstacles. Such orders can be withdrawn, relocated, or entirely canceled over time. True confirmation will come when prices can sustain above $86,900, $87,700, and $88,000, leading to sustained trading in these regions. Until then, while $90,000 seems close, Bitcoin faces a formidable cluster of selling liquidity ahead.
