Bitcoin has made a V-shaped recovery and is now testing the $97,000 mark. Will BTC break the $100,000 resistance soon?
With the Crypto Fear and Greed Index recovering to 40, the overall crypto market shows a slight improvement. The total crypto market cap has risen to $3.15 trillion, and Bitcoin is back above the $97,000 level.
After a quick V-shaped recovery, Bitcoin is gearing up for a potential breakout rally. Will this rally push Bitcoin to the $100,000 mark? Let’s find out.
Bitcoin Price Analysis Hints Channel Breakout Rally
The BTC price trend shows a quick V-shaped reversal from the local support trendline after breaching the 23.60% Fibonacci level priced at $94,633.
With this bounce, Bitcoin is now challenging the 38.20% Fibonacci level near the $97,000 mark. Currently, Bitcoin is trading at $97,101, marking an intraday recovery of 0.46%, following a 1.01% rise yesterday.
With a new positive cycle forming within the channel, the uptrend is aiming to challenge the overhead resistance trendline. A potential breakout could lead Bitcoin to test the supply zone near the 50% Fibonacci level at $98,949.
ETF Outflows Raise Concerns Over BTC Price Rally
Despite the significant recovery in the broader market, institutional support for Bitcoin has yet to resurface. U.S. Bitcoin spot ETFs saw daily outflows of $71.07 million.
With four ETFs offloading their holdings in the market, the remaining ETFs saw net-zero outflows. Fidelity was the biggest seller on February 19, with $48.39 million in outflows. Valkyrie, ARK, 21Shares, and VanEck followed suit, offloading $9.27 million, $8.65 million, and $4.77 million, respectively.
This marks the second consecutive day of net outflows in U.S. Bitcoin spot ETFs. Since February 6, the Bitcoin ETFs have seen positive inflows only twice.
Can Bitcoin Break Above $100K?
Technical indicators provide some optimism for a potential bull run. The MACD and signal lines have crossed positively, with a surge in bullish histograms indicating a buying opportunity according to the momentum indicator.
Additionally, the recovery has caused the upper Bollinger Band to rise, signaling a possible shift in trend momentum. These technical factors support the likelihood of a breakout rally.
According to the Fibonacci levels on the 4-hour price chart, the breakout rally could target the 61.8% Fibonacci level at $100,878. On the downside, the crucial support level remains at $94,633.
DisClamier: This content is informational and should not be considered financial advice. The views expressed in this article may include the author's personal opinions and do not reflect The Crypto Basic opinion. Readers are encouraged to do thorough research before making any investment decisions. The Crypto Basic is not responsible for any financial losses.
