The price behavior of Bitcoin is still under pressure, as the market is still in its correction mode, and traders are keenly observing the support levels that may dictate the next significant move.
Today, Bitcoin is trading below the resistance level of $112,000, and it was rejected at this point before falling to the support mark of $107,000.
According to market analyst Michael van de Poppe, the correction might not be over yet and might result in a retest of the lower levels of support before recovery occurs.
Bitcoin Market Trend Tilts Downward
As van de Poppe explains, the short-term trend of Bitcoin is still downward oriented, and the market has not yet exhibited the strength that will affirm the end of the correction.
He explained that the asset must break above 112K, as the market’s rejection at that level signals weakness. The current trend of Bitcoin suggests the possibility of further dips.
Key Levels in Focus
Technical indicators highlight significant areas of interest. Support stands at $108,000 and even more so at $103,000, which van de Poppe thinks the market may get to the bottom of.
On the upside, $112,000 serves as immediate resistance. A confirmed breakout above this will be a possible change of momentum, where the first signs will be displayed that Bitcoin is about to rise higher again.
The Relative Strength Index (RSI) of 37 per day states that the asset is on the verge of being in an oversold state but not at an extreme level.
Outlook for Altcoins
Van de Poppe underlined the fact that although the corrective structure of Bitcoin is yet to unfold, a recovery may establish good conditions in favor of the altcoins.
He mentioned that if we hit 103K and then reverse, it will position us for the next large upward wave in which altcoins are likely to perform very well.
As the price of Bitcoin forms a consolidation between its support and resistance, traders are closely keeping an eye on whether the support level of 103K will be met. Any loss would intensify the correction, and a gain above 112K will precondition a more powerful rise in the crypto market.
