Key Points
- Bitcoin’s (BTC) price movements are influenced by Open Interest (OI), with a significant pivot noted when BTC’s price flipped to the 95,600-95,900 range.
- Bitcoin’s price action is nearing a crucial moment as it approaches a break from a descending trendline that has led to three prior rejections.
Bitcoin’s [BTC](https://www.btcnews.com/price/bitcoin/) price movements continue to be tied in a range just below the $100K level. The Open Interest (OI) plays a significant role in influencing recent price action.
Open Interest Influence on Bitcoin
Recently, the OI screener noted a regime change, indicating increased participation as the heatmap brightened across most crypto assets. Specifically, a significant OI pivot occurred when BTC’s price flipped to the 95,600-95,900 range into support. This propelled BTC to climb towards the next cluster of OI resistance.
After this transition, Bitcoin successfully breached the 97,000 level. This was driven by accumulating interest in both long and short positions. Now, the focus shifts toward the $99,000 range, where a major OI resistance level sits. If BTC sustains this momentum and the support just below $96K holds firm, it could challenge the $99,600 to $99,900 area next.
Bitcoin’s Crucial Moment
Bitcoin’s price action is nearing a crucial moment as it approaches a break from a descending trendline. This trendline has led to three prior rejections, marked at points above the $99K level.
Recently, Bitcoin jumped from $93.5K to $98.4K, putting 1.7 million BTC back in profit. Each rejection at this trendline saw subsequent pullbacks, testing lower support levels before attempting another rally. Currently, BTC is approaching this resistance again. The question is whether this attempt will lead to a breakout or another rejection.
The trendline represents consistent resistance around the $100K mark, a psychological barrier. If broken, it could signal a bullish continuation for Bitcoin, potentially leading to a move back to its all-time high of $109K and beyond. On the flip side, failure to surpass this barrier could see BTC retesting lower supports, potentially down to $97,300 or further down to $90k, as indicated by previous lows in the pattern in early February.
A confirmed breakout or rejection here could set the tone for Bitcoin’s market trajectory in the near term.
