BTC Technicals Signal Weakness Amid Expanding Downtrend Channel
Bitcoin (BTC) extended its recent decline on Tuesday, falling below the critical $102,500 mark and approaching its October lows, as traders watch for signs of renewed buying interest at major support zones.
The world’s largest cryptocurrency is currently trading near $102,680, down roughly 3.6% on the day, according to Binance data. This decline places BTC at the lower boundary of a descending channel that has contained price action since mid-September.
Analysts note that a sustained break below $102,000 could expose the next major support area near $99,000, where strong buying interest was last observed in late July.
“Bitcoin is retesting the same structural zone that fueled the previous rebound,” said BitXJournal pakistan-based market strategist. “If buyers fail to defend this level, we could see an accelerated move toward the $99,000–$98,500 range.”
The chart setup shows multiple confluences of interest. The $107,000–$113,000 zone acts as the nearest resistance, overlapping with the upper boundary of the descending channel and a prior supply region visible from mid-October. Meanwhile, rising sell volume confirms short-term bearish pressure, even as longer-term investors continue to hold.
The current market structure suggests that BTC remains locked in a controlled downtrend, with volatility likely to rise near key technical zones. Traders are also monitoring macro cues, including U.S. dollar strength and upcoming inflation data, which could influence crypto sentiment.
Despite short-term weakness, some analysts remain optimistic that Bitcoin could stabilize above $100,000 before the next leg higher, citing growing institutional inflows and solid network metrics.
“We’re in a consolidation phase, not a breakdown,” noted BitXJournal analyst. “As long as BTC holds above $99,000, the broader uptrend remains intact.”
Bitcoin’s ability to defend the $102,000–$99,000 zone will determine whether bulls regain control or further correction unfolds.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.