Bitcoin Fails to Reclaim $80,000?...Exploring Scenarios Dependent on the Weekly Close

▲ Bitcoin (BTC)

Bitcoin (BTC) has failed to reclaim the $80,000 mark, and market tension is rising ahead of the weekly close.

According to Cointelegraph on April 23 (local time), Bitcoin recently surged to the $79,000 level, but it failed to overcome selling pressure and turned downwards. Based on TradingView data, Bitcoin's price is currently locked in a struggle around the $78,000 mark. The market is focusing on what price point this week's candle will close at.

Analyst Willy Woo diagnosed that Bitcoin's failure to break $80,000 indicates short-term bullish fatigue. If the weekly close occurs above $77,000, the bullish sentiment will be maintained, but if it drops below that, the correction could be prolonged. Coinglass data shows that open interest remains high, suggesting that price volatility is expected to increase further.

The Relative Strength Index (RSI) is currently around 65, approaching the overbought zone. With buying momentum somewhat slowing, whale investors are releasing profit-taking sell-offs into the market. The $76,000 and $74,000 ranges are expected to act as key support levels. Experts advise against aggressive chase buying, suggesting instead to confirm a clear breakout of resistance levels before reacting.

As Bitcoin's price stagnates at the top of its range, a rotational trading trend is also emerging, with funds moving into the altcoin market. Ethereum (ETH) and Solana (SOL), among others, are showing relative strength compared to Bitcoin, absorbing market liquidity. While the total cryptocurrency market capitalization has not seen significant changes, the divergence in returns across different assets is widening.

The market will ascertain the direction of the May market through Bitcoin's weekly closing price this weekend. Whether it's a process of accumulating energy for a break above $80,000 or the formation of a temporary peak will be determined within a few days. Investors are closely monitoring the movement of key indicators and reviewing their portfolios.

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