Is Bitcoin about to break out or will the correction deepen?

As can be seen from the chart, the price of Bitcoin is currently in an upward channel, and the overall trend is bullish. In the past few months, the price has fluctuated between the upper and lower rails of the channel many times, showing a relatively healthy technical correction and trend continuation dynamics.

Analysis of support and resistance levels: Currently, the intersection of the lower rail of the channel and the trend line forms a key support area, around $91,500-92,000. This support has pushed the price to rebound after being touched twice in the past. The main resistance above is at $106,600 and $107,500, which are key points that the price has repeatedly tested but failed to break through effectively.

Short-term possibilities: At present, the price of Bitcoin is close to the lower rail of the channel and is gradually approaching the support area. From the technical chart, the price may rebound after stabilizing in the support area, with the target pointing to the middle line and upper rail area of ​​the channel. If the strong resistance of $107,500 is broken, the price is expected to further test the $120,000 mark.

Potential risks: If the price fails to hold the support of $91,500, it may trigger a further correction in the market, with the target possibly pointing to the $80,000 area. Considering that the long-term upward trend line is still intact, even if there is a decline, it may provide new entry opportunities for medium- and long-term investors.

Trading strategy suggestions:

Short-term long: Pay attention to the rebound signal of the price in the $91,500-92,000 area, set the stop loss below $90,000, and the target price is above $100,000.
Breakout follow: If the price breaks through $107,500, you can try to chase more, with the target set at $115,000-120,000.
Short opportunity: If it falls below the trend line support, it is recommended to pay attention to short opportunities, with a target price of around $80,000.
Overall, Bitcoin still has great potential in the upward channel, and the short-term trend depends on the offensive and defensive situation of key support and resistance. Investors are advised to pay close attention to market dynamics and adjust strategies flexibly.