Bitcoin Price Projected to be ‘Highly Bullish’ if This Support Level is Maintained
Matrixport states that Bitcoin is expected to retain its upward momentum if it successfully defends the key support level.
After breaking out of a narrowing wedge pattern, Bitcoin (BTC) now faces a pivotal test at $89,260, a support level seen as crucial for its continued upward momentum. In a post on X on January 21, Singapore-based blockchain firm Matrixport indicated that Bitcoin’s price outlook depends on staying above this threshold.
In a chart shared by the firm, Bitcoin is shown breaking out of a narrowing wedge pattern. The cryptocurrency, with a market capitalization exceeding $2 trillion, has been retesting the breakout level at $98,042, which analysts consider a critical area for its price momentum.
“Bitcoin is now retesting the breakout level,” independent analyst Markus Thielen wrote in the analysis, adding that if BTC stays above the support, the short-term outlook will remain “highly bullish.” Since mid-November, Bitcoin has been moving within a wedge pattern. According to Matrixport, a mix of factors has influenced its price, including inflation concerns and optimism surrounding potential strategic moves in the market.
While the report is optimistic, it adds a condition: Bitcoin must defend the support level in the coming days to maintain its bullish outlook. As of press time, Bitcoin is trading at $103,497, while the total crypto market cap stands at $3.56 trillion.
