Bitcoin ($BTC) is currently facing a key resistance level around $106,900, and traders are advised to wait for a sustained close above this mark before turning bullish.
Ali Martinez says that this level is critical because it has previously acted as a short-term ceiling for price momentum.
A clean breakout and daily close above $106,900 would indicate renewed buyer strength and could signal the start of a fresh upward trend.
At the press time, Bitcoin is trading at $107,596.99, up 1.85% as compared to the same time last day.
BTC faces pullback risk to $105K–$103.5K if rejected
However, if Bitcoin fails to break and hold above this level, it risks facing another rejection. In that case, prices could retrace to support levels at $105,000 or even as low as $103,500.
These zones have historically provided a cushion for downward movements and could once again attract buying interest.
The $106,900 resistance is significant not just technically but also psychologically, as many short-term traders watch it closely to determine market sentiment.
Until this resistance is breached with strong volume and follow-through, entering aggressive long positions carries risk.
Traders should closely monitor price action, volume, and macroeconomic factors before making a decision. In the meantime, a cautious, range-bound strategy may be prudent, especially as the broader market awaits further confirmation of direction.
BTC shows caution near key $106.9K resistance zone
Bitcoin’s current technical indicators suggest a cautious outlook as the asset hovers near a critical resistance zone around $106,900. The Relative Strength Index (RSI) remains neutral, signaling neither overbought nor oversold conditions.
Meanwhile, the 50-day moving average is providing support near the $103,500–$105,000 range, while the price continues to test its short-term resistance without a clear breakout.
Trading volume has been relatively low during recent upward attempts, indicating a lack of strong conviction from buyers.
Overall, the indicators call for patience and careful positioning in the current range-bound market.
BTC struggles to break past key $106.8K resistance despite rebound
Bitcoin is having trouble breaking above the crucial resistance mark at $106,800, even with its recent comeback.
With oscillators such as the RSI and MACD displaying indications of market hesitancy, the momentum seems to be waning on shorter timeframes.
Because of the low trading volumes, there is a greater chance of false breakouts if the price tries to rise without substantial purchasing support.
Bitcoin may have a more severe decline with possible downside targets of $102,000 or even lower if it is unable to maintain the immediate support level at $106,500.
Given that bulls must decisively regain higher territory in order to prevent a more widespread decline in the near future, the current situation calls for a cautious stance.
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