Analysis: Bitcoin shows signs of seller exhaustion at the 200-day moving average support level, potentially returning to $95,000

ChainCatcher news, according to CoinDesk, Bitcoin's technical chart shows signs of seller exhaustion at the 200-day simple moving average (SMA) support level, suggesting that the price may rebound.

Since last Wednesday, Bitcoin's price decline has stalled at the 200-day moving average support level, with the daily candlestick charts on Tuesday and Friday being particularly noteworthy, both showing small bodies with elongated lower shadows, indicating that the bears have failed to maintain a position below the 200-day moving average.

Technical analysts point out that this candlestick pattern appears after a significant downtrend and typically signals a potential bullish reversal. Traders generally view this as evidence of weakening selling pressure, which could translate into a new phase of upward movement. Based on this, Bitcoin may rebound to around $95,000 on Sunday, and if it breaks through this level, traders may once again set their sights on the $100,000 mark.

On the other hand, if it falls below the 200-day moving average support level, Bitcoin may face a deeper decline.