Bitcoin briefly surrendered all intraday gains and slipped below $88,000 before buyers stepped in around $86,700, setting the stage for a tentative rebound on the hourly chart.
What happened
- After an attempt to push past $88,500 failed, BTC dropped to a low of $86,700 (Kraken feed) before buying interest returned.
- The pair has since popped back above $88,000 and the 100-hour simple moving average, and price action cleared a declining channel whose resistance sat near $87,300.
- The bounce has already reclaimed the 50% Fibonacci retracement of the pullback from the $90,298 swing high to the $86,700 low, and the next upside obstacle lines up close to the 61.8% Fib near $88,900.
Upside scenario
- As long as BTC holds above roughly $87,500, the path to a larger recovery remains open.
- Immediate resistance sits near $88,500, with key resistance at $88,900–$89,000 and a secondary barrier around $89,500.
- A decisive close above $89,500 could propel BTC toward $90,200 and then $90,500, with $91,200–$91,500 the next levels to watch.
Downside risk
- Failure to clear the $89,000 area could expose BTC to another leg down.
- Near-term support is at $87,850, with stronger floors at $87,500 and $86,700. A breach below those levels risks a drop toward $85,500, and a break under $85,000 could accelerate losses.
Technical readout
- Hourly MACD: gaining momentum in the bullish zone.
- Hourly RSI: trading above 50, suggesting short-term bullish tilt.
Quick reference
- Major support: $87,500 / $86,700
- Major resistance: $88,500 / $89,000
Bottom line: Bitcoin’s bounce is constructive while it holds above the mid-$87k area, but a run toward $90k will require clearing the $89k–$89.5k zone. Bears can resume control if price slips back below $86.7k and especially under $85k.
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