Bitcoin Price News: BTC Could Rise to $90K After Bear Trap Is Confirmed

Bitcoin (BTC) has seen its price increase by 0.63% in the past 24 hours to around $85,500 and has booked weekly gains of 7.1% as market sentiment has improved following President Donald Trump’s decision to delay the implementation of new tariffs.

The Fear and Greed Index has improved from a record low of 15 last week to 31 at the time of writing. Although investors are still fearful about the implications of Trump’s trade policies, the market’s concerns seem to have been temporarily appeased.

BTC’s price has been choppy in the past 24 hours as shown by crypto liquidations. Nearly the same amount of long and shorts have been flushed out during this period although volatility has normalized compared to last week.

As a result, traders have been more active in the past few days as indicated by Bitcoin’s open interest. Contract volumes seem poised to rise above yesterday’s mark already during the Asian session as external factors weigh less on market dynamics.

BTC Retests Key Trend Line Resistance

Moving to the daily chart, Bitcoin briefly broke below its long-dated trend line support last week after Trump announced his plan to impose high levies on all imported goods.

However, the price found strong support at around $74,400 and this significant buying pressure pushed BTC back above its resistance with some help from the White House.

Bears were likely trapped as a result of this move and high volumes of short sales were likely liquidated as the price recovered, which further exacerbated the uptick.

Now, BTC is retesting a key trend line resistance. This is a decisive moment for the top crypto as a bullish breakout of this descending triangle could result in a push to the $90,000 level for the first time in nearly 45 days.

Momentum indicators are favoring a bullish outlook for BTC at the moment as the Relative Strength Index (RSI) has moved above the signal line meaning that positive momentum has been accelerating.

Meanwhile, the MACD’s histogram has been posting increasingly higher positive readings in the past five days as well.

On the other hand, a second breakout below the $80,000 level will likely result in a retest of BTC’s nearest support at $74,400. Now that most pending orders at that level have been filled, this support area is weaker than it was last week.

Selling pressure at current levels seems high as shown by Bitcoin’s outstanding large orders. Data from CoinGlass shows a significant volume of sales around the $84,000 – $86,000 area as BTC tags this key resistance.

Meanwhile, buying interest at around $75,000 is not as strong as it was in the previous week and this raises the odds of a bearish breakout. The next few sessions will be critical as BTC hovers and touches these key price levels.

BTC Struggles To Climb Above $86K

In a lower time frame (1 hour), we can already see BTC struggling to clear the $86,000 as there is strong selling pressure at this level. Bulls already failed to push the price above this level once and the resulting decline managed to reverse the token’s uptrend.

Now the Asian session is touching this level again just minutes away from the opening bell in America.

Trading volumes don’t seem to be strong enough for a bullish breakout, which raises the odds of another rejection.

Momentum indicators are showing signs of weakness as the MACD’s histogram has posted lower readings in the past 4 hours and could swing to negative territory at any point.

The American session typically starts with some stop-loss chasing but ultimately sets the tone for the rest of the day.

For now, the trend favors bulls in this lower time frame unless the price action decisively rejects a move above the $86K level, at which point BTC could gear up for another trend line break.