Bitcoin Bulls Eye $100K as RSI Signals Trend Reversal

Bitcoin, the world's leading cryptocurrency, has been navigating a challenging macroeconomic environment since early February. Despite facing headwinds such as US President Donald Trump's proposed trade tariffs, the US Federal Reserve's hawkish statements, and the stock market downturn triggered by China's DeepSeek AI model, Bitcoin has managed to maintain a range-bound trading pattern between $93,000 and $98,000.

However, recent developments suggest that Bitcoin may be showing early signs of a bullish divergence. Crypto analyst Rekt Capital pointed out that Bitcoin has repeatedly failed to achieve a successful daily close above the $97,700 level, finding support around $93,000 at the lower end of its trading channel. Despite this, the cryptocurrency's relative strength index (RSI) has formed a higher low on the daily chart, indicating a potential momentum shift.

Bullish divergence occurs when the price continues making lower lows while the RSI reverses course and forms a higher low. This momentum shift often signals an impending trend reversal, which could propel Bitcoin toward the crucial $100,000 level. However, not all analysts are convinced that Bitcoin is out of the woods just yet. Crypto analyst Merlijn The Trader emphasized that Bitcoin recently touched the 100-day exponential moving average (EMA) at $93,500, and historically, closing below this level often means a drop to the 200EMA, currently at $86k.

Meanwhile, crypto market analyst CryptoBullet pointed to a CME gap from November that Bitcoin may need to fill before resuming its upward momentum. The analyst highlighted a double-top formation, which could lead Bitcoin to retrace down to $76,000 to close the gap. The "CME gap" refers to a price difference on CME's Bitcoin futures chart that arises when trading pauses for the weekend while Bitcoin continues moving on other exchanges. These gaps often attract price action due to liquidity, technical factors, and market psychology.

Despite the ongoing global macroeconomic turmoil, Bitwise executives maintain that Bitcoin currently offers a "generational opportunity." At press time, Bitcoin trades at $96,168, up 1.3% in the past 24 hours. As the market continues to evolve, investors and analysts alike will be