Bitcoin Price Holds Key Support As EMA Crossover Hints at Bullish Momentum

Bitcoin (BTC) is holding firm above crucial support levels as traders focus on a recent bullish EMA crossover, which often signals upward momentum.

With the price consolidating near $95,000 and a key resistance zone approaching at $98,000, the market is watching closely for a breakout.

At the same time, rising institutional interest and looming short liquidations add pressure, making this a critical moment for Bitcoin’s next major move.

Technical Indicators Suggest Possible Upside Movement

Bitcoin price is showing early signs of a bullish trend supported by a technical crossover between the 50-day EMA and the 100-day EMA.

This crossover has historically been viewed by market analysts as a sign of potential strength. According to an update from Cryptorphic, “Bitcoin is currently holding support and showing signs of strength with a bullish EMA crossover.”

The crossover follows a move where the 50-day EMA rose above the 100-day EMA. In addition, the price is staying above the 200-day EMA, suggesting that longer-term buyers are still active.

The area between $89,000 and $91,000 is acting as a key support zone. This level also includes previous resistance turned support, the 200-day EMA, and a high-volume node from recent trading activity.

Traders are also watching the RSI, which is now trending near 61. This level is considered to be in bullish territory but not overbought. Therefore, Bitcoin price may still have room to rise without triggering immediate selling pressure from short-term holders.

Mixed Sentiment as Bitcoin Retests Former Patterns

While some indicators point upward, other analysts have noted caution. Bitcoin price has recently broken down from an ascending channel and is currently retesting the lower boundary of that channel.

According to The Crypto Express, “A successful retest would confirm the breakdown and potentially lead to further downside.”

In this context, the 50-day moving average is now acting as resistance. If Bitcoin fails to break back above this level, more downside could follow. However, if the price manages to re-enter the channel, it could signal a continuation of the prior uptrend.

At the same time, a large number of leveraged short positions may come into play. Data shared by Bitcoin Buddha shows $3 billion worth of short positions could face liquidation if Bitcoin hits $100,000. The pressure on short-sellers could contribute to price volatility if momentum shifts upward.

Institutional Activity and Whale Movements Influence Market

Institutional interest remains strong, with MicroStrategy continuing to expand its Bitcoin holdings. On May 4, 2025, the company announced the purchase of 1,895 BTC for approximately $180.3 million. The average price per coin was around $95,167. CEO Michael Saylor reported, “As of 5/4/2025, we hodl 555,450 BTC acquired for ~$38.08 billion at ~$68,550 per bitcoin.”

This large acquisition comes amid continued interest from both retail and institutional investors. Such moves can offer additional support during price pullbacks, especially near major support zones.

On the other side of the market, whale activity has raised concerns. A large short position worth $120 million was opened at a $95,000 entry price, with liquidation set at $102,300.

This information was reported by trader Mr_Xoom, who noted the potential liquidation level that may lead to quick price movements if tested.

Bull Flag Formation and Resistance Levels Remain Key

Bitcoin price is currently consolidating inside a narrow price channel following its breakout above $90,000. It is a typical continuation pattern known as a bull flag. A break out from the flag may lead to movement towards $100,000 or higher.

It is immediate $98,000 resistance level. If Bitcoin pushes above this range, the first targets could be at $100,000 and $109,500. These correspond with prior resistance as well as with what is measured move targets from technical analysis.

Currently Bitcoin price is holding support and beginning to look stronger. It will, probably, depend on future price action whether the breakout will continue or will be corrected.

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