Bitcoin, if 'this' breaks, the $90,000 dream shatters...how far will it fall?

▲ Bitcoin (BTC)/AI generated image

Bitcoin (BTC) has entered a critical juncture where it is determining its direction around the key weekly support level of $76,500. Analysis suggests that if this price level is maintained, the possibility of re-challenging the $96,000 range opens up.

According to U.Today on April 28 (local time), Bitcoin's price approached the middle line of the Bollinger Bands on the TradingView weekly chart earlier this week, putting it to a significant technical test. Following a recent upward trend, the price is moving around $76,359, down approximately 3% from the start of the week.

The key indicator currently attracting market attention is the middle line of the Bollinger Bands, which consists of the 20-period Simple Moving Average. This level is approximately $76,479, and analysis suggests that if the weekly candle closes above this price, the technical retest could be deemed successful. In this scenario, the next target range is set at the upper band, around $95,500.

Despite the short-term decline, this correction is largely interpreted as a test to continue the upward trend. The assessment is that the market is not in a sharp decline but rather building a foundation for the next surge.

However, external variables are acting as factors limiting the active inflow of buying power. Rising tensions surrounding the Strait of Hormuz have pushed Brent crude oil prices above $100 per barrel, rekindling inflation concerns. As a result, some investors are observed to be shifting towards defensive assets.

As long as Bitcoin maintains above $76,500, the target of $96,600 remains valid. Conversely, if this level collapses, market attention will shift to the support level around $72,000, and the correction phase could extend into May.

*Disclaimer: This article is for investment reference only and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*