Bitcoin’s recent performance has raised alarm bells among traders, as the leading cryptocurrency struggles to hold vital support levels. Despite a strong bullish run in recent months, Bitcoin has encountered increasing selling pressure over the last few days, with analysts warning that if key support at $91,583 fails, Bitcoin could experience a significant decline, with $85,610 emerging as the next crucial target.

Bitcoin’s Struggles to Maintain Key Support

Over the weekend, Bitcoin’s price started to show signs of weakness. After reaching highs near $99,000 on Saturday, it quickly fell below $98,000 and then dipped even further under $96,000 by Sunday. The market sentiment seemed to shift as bullish momentum stalled, and Bitcoin was unable to break through the psychological $100,000 resistance.

On Monday, Bitcoin initially rebounded, touching $99,000 again, but it failed to sustain its upward trajectory. The cryptocurrency quickly lost momentum, falling to an intraday low of $90,400 before recovering slightly to around $92,380 by the time of writing.

This weakening price action has led analysts to focus on the $91,583 support level. According to prominent market analyst Ali Martinez, this price point is crucial for Bitcoin’s near-term price stability. Martinez used a combination of Fibonacci retracement levels and insights from the TD Sequential indicator, which suggests that if Bitcoin falls below $91,583, it could be heading toward further losses, potentially reaching as low as $85,610 in the coming days.

Technical Indicators Point to Bearish Momentum

The technical outlook for Bitcoin has also raised concerns among traders, as several key indicators suggest that the cryptocurrency could be facing a bearish shift.

The Relative Strength Index (RSI) currently stands at 62.36, still below the overbought threshold of 70. While this indicates that Bitcoin is not in an overbought state, the recent decline in the RSI is a sign of diminishing buying pressure, suggesting that momentum may be slowing down.

Moreover, the Moving Average Convergence Divergence (MACD) indicator, which is widely used to identify potential trend reversals, has entered a bearish phase. A bearish crossover occurred, with the signal line crossing above the MACD line, and the histogram has turned red. While the red bars are relatively small, this shift in momentum could be an early sign of more pronounced bearish activity.

A Typical Pullback in a Bull Market?

Despite the increasing signs of bearish momentum, some analysts argue that the current pullback could be part of a normal market cycle for Bitcoin. During strong bull runs, corrections are not unusual, and Bitcoin’s price often experiences brief pullbacks before continuing its ascent. These temporary declines may be a healthy part of the price discovery process as the market consolidates before attempting new highs.

Some analysts believe that even if Bitcoin does experience a temporary decline toward $85,610, the broader market trend remains bullish. If Bitcoin manages to hold key support levels and navigate through this correction, it could see a resurgence and potentially break through major resistance zones, setting the stage for further gains.

Outlook: Is a $150,000 Bitcoin Still Possible?

Looking beyond the short-term volatility, many analysts still maintain a bullish long-term outlook for Bitcoin. Some have projected that, despite the ongoing corrections, Bitcoin could reach new all-time highs, with targets as high as $150,000. The underlying fundamentals of Bitcoin, such as increasing institutional adoption and demand from retail investors, continue to support the case for higher prices in the future.

Conclusion

Bitcoin’s recent struggles to hold support at key levels like $91,583 are raising concerns about a potential decline, with analysts warning that a fall to $85,610 could be on the horizon. The cryptocurrency’s technical indicators suggest a shift toward bearish momentum, but pullbacks are common during bull runs and could offer an opportunity for consolidation before another upward push. Traders will need to closely monitor Bitcoin’s price action in the coming days to gauge whether it can hold crucial support levels and continue its long-term bullish trend.