{"id":23135,"date":"2025-04-22T08:31:56","date_gmt":"2025-04-22T08:31:56","guid":{"rendered":"https:\/\/dogewisperer.com\/?p=23135"},"modified":"2025-04-22T08:31:56","modified_gmt":"2025-04-22T08:31:56","slug":"bitcoin-runs-into-resistance-cluster-above-88k-what-next","status":"publish","type":"post","link":"https:\/\/dogewisperer.com\/?p=23135","title":{"rendered":"Bitcoin Runs Into Resistance Cluster Above $88K. What Next?"},"content":{"rendered":"
\n

This is a daily technical analysis by CoinDesk analyst and Chartered Market Technician Omkar Godbole.<\/em><\/p>\n

Bitcoin’s (BTC) bullish advance has encountered a resistance zone above $88,000, marked by crucial levels that could make or break the ongoing recovery rally.<\/p>\n

The resistance cluster’s first and perhaps most critical level is the 200-day simple moving average (SMA) at $88,356. The SMA is widely regarded as a key indicator of long-term momentum. Early this month, Coinbase institutional analysts called<\/a> the downside break of the 200-day SMA in March a sign of the onset of a potential crypto winter. <\/p>\n

So, a fresh move above the 200-day SMA could be taken to represent a renewed bullish shift in momentum.<\/p>\n

Such a move would trigger a dual breakout, as the Ichimoku cloud’s upper end is located close to the 200-day SMA. A move above the Ichimoku cloud is also said to reflect a bullish shift in momentum.<\/p>\n

Developed by a Japanese journalist in the 1960s, the Ichimoku cloud is a technical analysis indicator that offers a comprehensive view of market momentum, support, and resistance levels.\u00a0The indicator comprises five lines: Leading Span A, Leading Span B, Conversion Line or Tenkan-Sen (T), Base Line or Kijun-Sen (K) and a lagging closing price line. The difference between Leading Span A and B forms the Ichimoku Cloud.<\/p>\n

The third and final level forming the resistance cluster is the high of $88,804 on March 24, from where the market turned lower and fell back to $75,000.<\/p>\n

\"BTC's<\/p>\n

A make-or-break resistance zone?<\/h4>\n

Behavioural aspects of trading come into play when an asset approaches a resistance zone, especially at key levels like the 200-day SMA and the Ichimoku cloud.<\/p>\n

Prospect theory suggests that people are typically risk-averse with respect to gains and risk-seeking with respect to losses, known as the \u201creflection effect.” So, as traders, people tend to be risk-averse while locking in profits and keep losing trades open. <\/p>\n

This tendency is amplified when an asset encounters a significant resistance zone. Traders who entered the bitcoin market around $75K, anticipating a rebound, may feel pressured to take profits as the price approaches this resistance. Such selling could, in turn, slow the price ascent or even trigger a new downturn.<\/p>\n

Conversely, if bitcoin successfully breaks through the resistance zone, the fear of missing out could prompt more traders to make bullish bets, further fueling bullish momentum and pushing the price higher.<\/p>\n<\/div>\n","protected":false},"excerpt":{"rendered":"

This is a daily technical analysis by CoinDesk analyst and Chartered Market Technician Omkar Godbole. Bitcoin’s (BTC) bullish advance has encountered a resistance zone above $88,000, marked by crucial levels that could make or break the ongoing recovery rally. The resistance cluster’s first and perhaps most critical level is the 200-day simple moving average (SMA) […]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"iawp_total_views":0,"footnotes":""},"categories":[2],"tags":[3,4,5],"class_list":["post-23135","post","type-post","status-publish","format-standard","hentry","category-news","tag-crypto","tag-doge","tag-news"],"_links":{"self":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/23135","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=23135"}],"version-history":[{"count":0,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=\/wp\/v2\/posts\/23135\/revisions"}],"wp:attachment":[{"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=23135"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=23135"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/dogewisperer.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=23135"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}