Bitcoin’s rise to the $92,000 resistance zone lacks bullish volume, raising concerns that the move is just a dead end before a deeper correction.
summary
- The BTC rally shows weak bullish volume and limited sustainability.
- Rejection from the ruling class strengthens bearish views.
- A loss of $89,000 could trigger a fall to the $86,000 support.
Bitcoin (BTC) price is showing early signs of depletion after an impulsive rally from the lows of the 0.618 value area. Despite the sharp rebound, the lack of significant volume behind the move casts doubt on the sustainability of the rally. As price tests a major resistance cluster near $92,000, traders are keeping an eye on signs that the pullback could fail.
With the bearish structure still in place on the higher time frames, Bitcoin now faces a key test that will determine whether further upside is possible or whether a deeper correction is forming.
Important technical points of BTC price
- Bitcoin rose from the 0.618 value area to the point of control resistance.
- The pullback lacks meaningful bullish volume, weakening its credibility.
- A loss of $89,000 would open the way to deeper support at $86,000.
You may also like: LBank Labs and Tencent Cloud hold exclusive VIP night in Dubai
BTCUSDT (1H) chart, source: TradingView
Bitcoin’s recent price action started with an impulsive move from the lows of the 0.618 value area, producing a rapid upward rotation towards the control point. This zone also coincides with another 0.618 Fibonacci level located just above it, forming a tight confluence of resistance. Technically, this was supposed to be an area where bullish momentum would strengthen to support a continuation of the rally. In fact, there was almost no trading volume during the uptrend. This lack of meaningful buyer participation is the first big warning sign.
For the breakout to sustain, bullish volume will need to increase as price breaks into resistance. Without that amount, the rally becomes vulnerable. In the case of Bitcoin, the current lack of volume suggests that this move may not be rooted in true strength. Rather, it looks more in line with a dead cat bounce, a short-term recovery that occurs within a broader downtrend before prices fall again.
Even the news that Harvard University increased its stake in a Bitcoin ETF by 257 percent in Q3 2024 has not led to stronger market participation, highlighting how fragile the current rebound is.
If Bitcoin fails to conclusively regain control and begins to fall, the next important area will be the high time frame support at $89,000. This level has historically served as a structural anchor point for trading ranges. The breakdown from here is that the bulls will not be able to defend the rally and will definitely shift the odds towards a deeper correction.
You may also like: ETF analyst Eric Balchunas says Bitcoin is not a tulip
If $89,000 fails, the next major downside target will be the support on the higher timeframe near $86,000. This area has not been reviewed since the beginning of the quarter and contains significant liquidity pools. When momentum weakens, the market often gravitates toward such levels. A move into this lower support zone would also be consistent with the broader pattern of Bitcoin maintaining rotational behavior within a multi-month range.
From a structural point of view, the resistance zone around $92,000 is one of the most important levels on the chart. This represents the midpoint of the macro distribution zone and has acted as a rejection point multiple times already this month. If price fails to break out of this area with confidence, the market will interpret it as another failed attempt and a continuation of the general bearish structure.
Even ETF analyst Eric Balciunas has pushed back against the “Bitcoin tulip mania” comparison, but it does little to change sentiment at this important level, highlighting how dominant technical resistance remains.
Therefore, a rejection here would confirm that the current pullback is only a temporary countertrend move. This very behavior defines a dead cat bounce. That is, an impulsive push without volume follow-through, buyers getting trapped, and ultimately a rollover into the dominant trend.
What to expect from future price trends
If Bitcoin loses its control point and falls below $89,000, a deeper correction toward $86,000 is likely. Only a breakout supported by strong volume above $92,000 would invalidate the dead cat bounce scenario and shift momentum back to the bulls.
read more: Why a small rebound in Ethereum price poses a risk of correction to $2,220
