Bitcoin holds a critical position as it tries to settle above the key moving average, facing persistent resistance near $78,000. The recent rebound in the 21-week EMA signals potential strength, but the overhead of repeated rejections continues to test bullish momentum. With the price hovering between a sturdy support and a bullish ceiling, the next move could be crucial in shaping BTC’s short-term trend.

BTC hedges a marginal weekly close above the 21-week EMA

Crypto analyst Rekt Capital recently shared update that Bitcoin achieved a marginal weekly close above its 21-week exponential moving average (EMA). This technical milestone is significant because it suggests that the price is in an excellent position to reclaim this particular moving average as solid support for future upside momentum.

However, the analyst noted that there was not enough space during the initial breakout for a standard, spotless retest. As a result, the market experienced a piercing decline that fell below the EMA, serving as a floating retest to get rid of feeble hands.

During this period of increased volatility, Bitcoin’s price action saw a deep decline, approaching the $73,000 level. This area is of significant technical importance as it represents the top of the Double Bottom Formation. Reaching this level confirms that despite current fluctuations, the market continues to interact with major historical structural boundaries.

Attention is now fully focused on the upcoming weekly candle close to determine the medium-term trajectory. If the candle closes at the current snapshot levels, it would mean that the retest of the 21-week EMA has been successful.

Conversely, a weekly close below the 21-week EMA would negate the current bullish thesis. Such a failure would likely trigger a deeper correction, pushing Bitcoin’s price back to the low $70,000 range.

Bitcoin is struggling to break into the $80,000 target zone

According to technical condition analysis by Crypto Candy Bitcoin continues to make attempts towards the $80,000 target zone, but has yet to gain enough momentum to ensure a sustained breakout. Each upward push was met with resistance, showing that buyers are still struggling to gain full control of the trend.

Right now, the $78,000 level is a sturdy barrier, repeatedly halting upward moves. As long as the price remains below this zone, there is a risk of a short-term pullback. If momentum weakens further, BTC could revisit the $73,000 region, which stands out as a key support area.

Despite near-term resistance, the overall outlook remains confident, with the $80,000 target remaining unchanged. This bias holds as long as Bitcoin maintains support above $73,000, keeping the structure intact and leaving room for another move towards higher levels once resistance is removed.