Bitcoin (BTC) is showing signs of technical weakness following its rejection from a key resistance zone, with multiple analysts predicting a further decline toward the $87,600 to $90,000 support levels. The cryptocurrency recently reversed from a significant resistance zone between $95,000, which aligns with the former monthly high from December, the upper daily Bollinger Band, and the 50% Fibonacci retracement level of the downward impulse that began in November.
The breakdown below the $92,155 support level on the 4-hour chart has confirmed the current downtrend, according to crypto analyst Lennaert Snyder. This move has shifted market sentiment toward seeking short opportunities. Snyder identified the monthly opening price of approximately $87,600 as the ultimate target for the ongoing pullback.
Analysts point to the strength of the $95,000 resistance level and the prevailing bearish sentiment across crypto markets as key drivers for the expected decline. The $90,500 level is noted as a significant intermediate support zone. A strong rebound from this area could potentially reverse the trend and trigger the closing of short positions.
For the technical outlook to turn bullish again, Bitcoin would need to surpass the resistance level around $96,500. Until then, the market structure suggests continued downward pressure toward the next major round-number support at $90,000, with a deeper target at $87,600.
