Bitcoin at a Crossroads: Key Support Holds as Fading Momentum Tests Bullish Resolve

Bitcoin currently navigates a critical "make-or-break" phase, balancing on key weekly support levels amidst waning market momentum. Despite its resilience above a major confluence zone, repeated rejections at higher price points suggest that buyers are losing their grip. With macroeconomic pressures mounting and significant liquidity levels yet to be tested, the upcoming market movements could determine whether BTC finds stability or plunges into a more profound correction.

Short-Term Challenges and Expert Projections

Prominent crypto analyst Michael Van De Poppe highlights a decisive rejection at a crucial resistance level, underscoring that the short-term downtrend persists across lower timeframes. This implies that selling pressure currently outweighs buying interest. To reverse this immediate bearish bias, Van de Poppe suggests a clear breakout above the $88,000 mark is essential. Successfully breaching this level would signal a definitive end to the corrective phase and foster renewed upward momentum. Conversely, if buyers fail to achieve this breakout, Bitcoin is likely to target liquidity around $83,000, with a further drop to $80,000 potentially triggering widespread stop-losses. Anticipating significant volatility from macroeconomic events like the upcoming FOMC meeting, Van De Poppe foresees Bitcoin reaching one of these predicted downside liquidity tests.

Long-Term Structure and Deeper Possibilities

While facing short-term headwinds, Bitcoin's weekly market structure, as analyzed by Crypto Damus, maintains its integrity for now. The cryptocurrency is holding firm above the crucial $86,000 weekly support zone, a level reinforced by its 100-week moving average. This makes it a pivotal point to monitor. However, the broader technical landscape still leaves room for a more significant downturn. Damus cautions that a full retracement towards the rising wedge breakdown target, closely aligning with the April low around $78,000, remains a possibility. Such a move would signify a more pronounced corrective phase within Bitcoin's broader market cycle, potentially presenting a compelling long-term buying opportunity around the $70,000 level for high-conviction investors.