Bitcoin’s price action remains fragile, but there is a clear short-term level that could shift momentum: $88,230. If bulls manage to push the market above this threshold, the probability of retesting the 4-hour resistance zone around $91,500 rises sharply. Such a move would also invalidate the recent lower sell signal on the 5-minute MDX Trendmaster, hinting that immediate selling pressure may be fading. And given how violently price dropped, a corrective impulse upward — even a fast, sharp one — would not be surprising.
Adding to the bounce potential is an emerging behavioral signal: retail traders are now starting to FOMO into late shorts. This often happens after a big drop when fear peaks and traders feel they “missed the move.” Historically, late retail shorting becomes liquidity for market makers, who may engineer a short-term reversal to liquidate these crowded positions before continuing the macro trend. In other words, retail panic shorting can act as fuel for a temporary bounce, even if the broader structure remains bearish.
That said, traders should remain cautious. Even if Bitcoin pushes into the 91.5K zone, the 4-hour trend is still decisively down, with the chart continuing to print lower highs and lower lows. Until Bitcoin breaks that pattern on higher timeframes, every bounce — including the one we may get now — is a counter-trend move, not a recovery. A reclaim of 88,230 may open the door to 91.5K, but the dominant market direction remains bearish, and disciplined planning outweighs reactive trading.
Add comment
Comments