Bitcoin Drops Again

Bitcoin's daily chart is showing potential bullish divergence, a key signal for a possible reversal. We still need a clear upward elbow on RSI with a higher low and for price to close at a lower low to fully confirm the divergence.

The 200-day moving average was tested and is currently acting as support, reinforcing its importance as a key level. The recent rejection at $94,990 confirms this as a strong resistance zone.

The failure to hold above $91,270 suggests that Bitcoin still has work to do before confirming a full recovery.

For bulls, the next key objective is reclaiming $91,270 and flipping it back into support, which would strengthen the case for another retest of $94,990. If Bitcoin fails to hold the 200-day MA, another major dip is likely.

Overall, bullish divergence is forming, but confirmation is needed. The 200-day MA is critical, and price action over the next few days will determine if Bitcoin can resume its uptrend or if further downside is in store.