Bitcoin Dumps Below $99,000: What Does Technical Analysis Say?

Bitcoin BTC/USD faces significant headwinds to consistently break above $100,000, as technical indicators show the crypto king has several hurdles to overcome in the short term.

What Happened: Bitcoin is back below $99,000, falling 2.5% over the past 24 hours and trading around $98,650 at the time of writing.

According to a “Bitcoin weather report” by pseudonymous technical analyst “The Weatherman” posted on X, current price action suggests a potential retest of a trendline around $90,000.

Resistance near $99,600 is pivotal, as a failure to break it could lead to retesting lows around $91,000.

Short-term indicators show mixed signals.

The 4-hour chart suggests bullish potential with a reclaimed golden cross, with liquidation heatmaps showing significant stop clusters at $97,000 (longs) and $99,600 (shorts)

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What's Next: Looking ahead over the next 1-2 months, the trader predicts Bitcoin may fake a breakout above $100,000 and retest $90,000 before regaining momentum for a rally.

Bitcoin’s extended consolidation phase, especially during a multi-month bull trend, tends to create a favorable environment for altcoins to rally.

Market dominance metrics suggest that Bitcoin's share of the crypto market may have peaked, a common precursor to the start of an “alt season,” where alternative cryptocurrencies outperform Bitcoin.

Favorable narratives could be seen in AI, GameFi, and Solana-native DEXs.

The Weatherman advises traders to remain patient, waiting for clearer bullish signals to confirm the next phase of the rally.

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