• Bitcoin price has hit reverse to upside after retesting the $91000 levels.
• An analyst explained the importance of the $86,000 to $85,000 price range.
• Bitcoin is now eyeing to break the $100k mark once again.

Bitcoin has hit a major psychological roadblock, struggling to break past the $100,000 mark. After five failed attempts, it seems like it’s getting closer to finally holding above that level. Right now, Bitcoin is hovering around $96,000, but its next move will depend on what happens with the global economy. 

As the U.S. dollar strengthens and Treasury yields climb, Bitcoin is testing its $95,000 support. Meanwhile, broader markets are attempting a rebound. With the inauguration approaching, some experts anticipated a more bullish outlook. Is this a warning sign, or just a market reaction to uncertainty?

In fact, Bitcoin has experienced similar dips before during bull markets, and each time, it has bounced back higher. If Bitcoin dips, it could actually be a good thing, because it would set the stage for a stronger rally once the dip is over.

How Low Could Bitcoin Go?

Bitcoin’s price has been trading sideways for a while, bouncing in a certain range since mid-November. This range has acted as a support zone, but here’s an interesting fact: the more times Bitcoin tests a support or resistance level, the more likely it is to break through that level. This is because, as the price stays in one place, fewer buyers are willing to pay at those levels, while sellers continue to push the price lower.

Bitcoin’s price might dip a bit lower, but where could that be? The analyst explained that there are key levels to watch and one such area is around $86,000 to $85,000, where Bitcoin has bounced in the past. If the price dips toward this level, it could quickly recover. There are also deeper levels, like $80,000, but even if Bitcoin reaches this price, it would just absorb the liquidity in the market before bouncing higher.

The analyst said that these dips are just part of the market’s natural cycles, and they often present great buying opportunities for those who are prepared. Whether Bitcoin bounces from its current support level or drops a bit lower, he said that it’s important to stay calm and wait for the rebound.