BTC remains below $90k as recovery signals fade
Key receivers
BTC is down less than 1% as the market crashes.
The leading cryptocurrency could retest the $87k support level before rallying higher.
BTC price action is decisive.
The cryptocurrency market continues to underperform as BTC and other leading coins are in the red. Bitcoin has lost 0.7% of its value in the last 24 hours and is now trading at $89,150.
The broader cryptocurrency market is trying to stabilize after a sell-off this week. Bitcoin price started the week on a negative note, closing below key support levels: the 50-day exponential moving average (EMA) at $91,942.
The bulls tried to defend the psychological level of $90,000 but failed, Bitcoin retested the midpoint of the horizontal parallel channel at $87,787 before starting to recover. At the time of writing on Friday, BTC is trading at around $89,175.
Will Bitcoin Return Above $91k Soon?
If the recovery continues, Bitcoin may extend the rally to the first major resistance and the 50-day EMA at $91,942.
The Relative Strength Index (RSI) on the 4-hour chart is 39, showing an upside towards the neutral 50 level, indicating fading bearish momentum. For the bullish momentum to continue, the RSI must move above neutral.
Despite this, the Moving Average Convergence Divergence (MACD) indicator showed a bearish crossover on Tuesday, indicating a modest downward pressure.
If the recovery fails and Bitcoin's daily candlestick closes below the $87,787 support level, it could extend the decline to the lower consolidation boundary at $85,569.
Currently, the market situation is not clear, there is no clear direction in sight. Bitcoin erased most of its accumulated gains earlier this month due to trade tensions between the United States and the European Union (EU) over Greenland.
However, although the issue seems to have been resolved, Bitcoin's performance has not improved significantly.
