Bitcoin is currently trading within a tight range between $84,000 and $85,000, a region that has acted as a strong resistance multiple times in the recent past. Bulls have tried to break through this level, but we’re starting to see some clear signs of exhaustion. Price is struggling to create a new higher high, and unless we see a clean breakout above this resistance, this could be the early signs of a lower high formation.
A failure to break out here would indicate that bullish momentum is starting to fade, and that sellers are gaining control again in this zone. This could open the door for a short-term pullback before we see any renewed upside.
Major Resistance Holding Price Down
The red zone on the chart marks a key supply area, where sellers continue to step in aggressively. Multiple rejections have formed here, which gives this level more weight. Unless Bitcoin sees a strong breakout above $85,000 with volume, this area will likely hold price down.
What we want to watch now is whether price can push through this resistance or whether it will roll over and confirm the rejection.
Short-Term Bearish Bias – Eyes on Imbalance Zone
If Bitcoin fails to break above this resistance, the most logical target on the downside becomes the $80,000 range. This level is interesting for two reasons:
This imbalance acts like a magnet for price, pulling price back into it to rebalance the inefficiency in the market. If momentum shifts to the downside, this is a very likely level for price to revisit. I’ll be watching this area closely for potential bullish reactions or continuation setups depending on how price behaves once we tap into it.
Strong Support and Golden Pocket Below
If the $80K zone doesn’t hold, I’ll be turning my attention towards the next major area of interest — the $78,500 level. This is where we have two very strong factors aligning:
This level has a lot of confluence, which increases the chances of seeing a reaction or reversal from here if we drop that far. In my opinion, this is one of the strongest zones currently sitting below us. If price gets here, I’ll be watching closely for a solid long setup.
What Comes Next?
For now, I remain cautiously bearish in the short term. Price has been rejected at resistance and hasn’t shown the strength to break out just yet. If we start forming more lower highs and lose the support structure at $84K, I think we’ll make our way back down toward $80K.
What happens at that point will be key:
At this stage, I’m not looking for longs unless price gives a clear reaction from one of the key levels below. The risk-to-reward on shorts looks more attractive while we remain under resistance.
Summary
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A failure to break out here would indicate that bullish momentum is starting to fade, and that sellers are gaining control again in this zone. This could open the door for a short-term pullback before we see any renewed upside.
Major Resistance Holding Price Down
The red zone on the chart marks a key supply area, where sellers continue to step in aggressively. Multiple rejections have formed here, which gives this level more weight. Unless Bitcoin sees a strong breakout above $85,000 with volume, this area will likely hold price down.
What we want to watch now is whether price can push through this resistance or whether it will roll over and confirm the rejection.
Short-Term Bearish Bias – Eyes on Imbalance Zone
If Bitcoin fails to break above this resistance, the most logical target on the downside becomes the $80,000 range. This level is interesting for two reasons:
- It lines up with an unfilled imbalance zone on the 4H chart.
- There’s also the 0.5 Fibonacci retracement level in the same area.
This imbalance acts like a magnet for price, pulling price back into it to rebalance the inefficiency in the market. If momentum shifts to the downside, this is a very likely level for price to revisit. I’ll be watching this area closely for potential bullish reactions or continuation setups depending on how price behaves once we tap into it.
Strong Support and Golden Pocket Below
If the $80K zone doesn’t hold, I’ll be turning my attention towards the next major area of interest — the $78,500 level. This is where we have two very strong factors aligning:
- The 0.618 Fibonacci retracement level (also known as the golden pocket).
- A key historical support zone that has held well in previous pullbacks.
This level has a lot of confluence, which increases the chances of seeing a reaction or reversal from here if we drop that far. In my opinion, this is one of the strongest zones currently sitting below us. If price gets here, I’ll be watching closely for a solid long setup.
What Comes Next?
For now, I remain cautiously bearish in the short term. Price has been rejected at resistance and hasn’t shown the strength to break out just yet. If we start forming more lower highs and lose the support structure at $84K, I think we’ll make our way back down toward $80K.
What happens at that point will be key:
- Bounce from $80K? We could get a short-term relief rally and retest the resistance.
- Fail to hold $80K? Then I’m expecting price to dig deeper into the golden pocket and potentially find strong support at $78.5K.
At this stage, I’m not looking for longs unless price gives a clear reaction from one of the key levels below. The risk-to-reward on shorts looks more attractive while we remain under resistance.
Summary
- Resistance at $85K–$84K is still holding strong.
- If rejected here, I’m targeting $80K (imbalance zone).
- Below that, $78.5K is a major support with golden pocket confluence.
- Short-term bias is bearish unless we break above resistance with volume.
- Watching for clean setups around these levels before taking action.
__________________________________________
Thanks for your support!
If you found this idea helpful or learned something new, drop a like 👍 and leave a comment, I’d love to hear your thoughts! 🚀
Make sure to follow me for more price action insights, free indicators, and trading strategies. Let’s grow and trade smarter together! 📈
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Price is still inside the resistance zone, lets see if we chose a side today
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𝟔 𝐘𝐄𝐀𝐑𝐒 𝐄𝐗𝐏𝐄𝐑𝐈𝐄𝐍𝐂𝐄𝐃 𝐓𝐑𝐀𝐃𝐄𝐑
💎 Free Signals
t.me/codeandcandle
🎁 Free trading Discord community
bit.ly/TehThomas
✅ Best exchange - 20% cashback
bit.ly/BloFin20
💎 Free Signals
t.me/codeandcandle
🎁 Free trading Discord community
bit.ly/TehThomas
✅ Best exchange - 20% cashback
bit.ly/BloFin20
Related publications
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.