Analyst Identifies Bitcoin Key Support Levels Amid Rebound Challenge – Details

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The price of Bitcoin has shown no significant movement in the past day following a price rebound at the start of January 2025. Currently trading near $98,000, speculation is mounting about whether Bitcoin has exited its correction phase, with high expectations of an impending bull market.

Strong Bitcoin Support Zone Emerges Between $95,090-$96,531

In an X post on January 4, digital asset analysis platform More Crypto Online shared an insight on the present state of the Bitcoin market. 

With the application of the Elliott Wave Theory, these analysts deduced that Bitcoin’s price may have developed a potential 5-wave pattern which can be indicative of a bullish movement. For context, the Elliott Wave Theory works on the basis that financial markets move in predictable patterns due to investor psychology and natural market rhythms. 

The 5-wave pattern also known as the impulsive wave pattern generally moves in the direction of the larger trend. With Bitcoin still in a bullish shape despite recent corrections, the completion of the 5-wave pattern to the upward direction indicates a strong price rally i.e. BTC is out of correction with a focus on new highs. 

However, in order to solidify this notion of impending new all-time highs, Bitcoin must break above the December 26th price peak of $99,900 which represents a major resistance level.  In the advent of any rejections/retracements amidst this bullish charge, the crypto analysts at More Crypto Online have pinpointed a significant support zone between $95,090 – $96,531 capable of acting as a cushion for retest.

Albeit, if there is an overwhelming selling pressure, Bitcoin could slide as low as $92,950 representing a potential 5.5% fall from its current market price.

Bitcoin

BTC Price Overview 

At the time of writing, Bitcoin is trading at $97,227 reflecting a 0.21% gain in the past 24 hours. Meanwhile, the asset’s daily trading volume has dipped by 17.25% and is valued at $30.03 billion. Bitcoin has also risen 3.57% over the past week but remains down 3.79% for the month. The premier cryptocurrency remains one of the best-performing coins in the last year having a profit of 121.32% in this timeframe.

According to data from Coincodex, sentiments in the BTC remain bullish with the Fear & Greed Index now at 73 reflecting an “almost” extreme greed among investors. With the crypto bull market set to take off with the potential of a pro-crypto US government on the horizon, the analysts at Coincodex predict Bitcoin to reach $132,775 in the first quarter of 2025, and rise as high as $172,192 by June.

Bitcoin

Featured image from Finbold, chart from Tradingview

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