Traders are witnessing a downturn in Bitcoin (BTC) prices, with the cryptocurrency trading approximately 1% lower as of Tuesday. The market sentiment has shifted negatively, especially as Bitcoin faces strong resistance at the $90,000 mark, which it has yet to surpass. In contrast, precious metals like gold and silver are reaching new record highs, underscoring a divergence in market trends.
Recent data from TradingView indicates that after a rejection at $90,000, Bitcoin's price action may remain stagnant, prompting traders to consider buying opportunities at lower levels. Analyst Daan Crypto Trades highlighted the importance of breaking through the 200-period moving average on four-hour charts as a key indicator for potential price movement. Another trader, Crypto Tony, is anticipating a dip to around $86,800 for a long entry, while crypto analyst Ted Pillows pointed out significant selling pressure around the $90,000 level.
Additionally, a major investor has established short positions totaling approximately $250 million across Bitcoin, Ether (ETH), and Solana (SOL). This move reflects the cautious outlook among some traders as Bitcoin's relative strength index indicates bullish divergences, suggesting potential market shifts ahead.