Bitcoin climbed back above $84,000 on Monday, recovering from a sharp selloff that briefly pushed the cryptocurrency below $81,000 last week. The bounce lifted Ethereum and XRP as well, with both reclaiming key psychological levels of $2,500 and $1.40, respectively. Despite the recovery, technical indicators suggest the rebound has not yet confirmed a decisive breakout.
The rally followed President Donald Trump's announcement on Friday of an agreement for Russia to supply 300,000 metric tons of diesel fuel to domestic and international markets. The deal represents a partial easing of U.S. sanctions on Russian oil imports. Trump also claimed that Russia and Ukraine had agreed to an immediate ceasefire targeting energy infrastructure attacks. However, Ukrainian officials said they were not consulted, and Russian strikes on Ukraine's energy grid have continued, leaving the agreement's credibility in question.
While oil prices pulled back on the news, the broader market backdrop remains challenging. U.S. spot Bitcoin ETFs recorded $681 million in net outflows last week, the largest weekly withdrawal since June, according to SoSoValue. Additionally, U.S. Treasury yields reached 24-year highs during the week ending October 9, adding pressure on risk assets.
Technical Levels and Indicators
Bitcoin traded at $84,110, maintaining a constructive technical structure above its major daily exponential moving averages (EMAs). The 50-day EMA stands at $80,195, while the 100-day and 200-day EMAs are at $76,411 and $75,744, respectively. Holding above these levels suggests the recent pullback has not erased the broader uptrend, but sustained buying is needed to challenge overhead resistance.
The Relative Strength Index (RSI) is near 55, above the neutral midpoint but not indicating overbought conditions. This suggests moderate buying momentum and room for further gains if demand strengthens. However, the Moving Average Convergence Divergence (MACD) indicator remains below zero, signaling that the rebound is still working through earlier weakness. Together, these indicators support a cautiously constructive outlook without confirming a strong momentum breakout.
Key Levels to Watch
The next major resistance is the horizontal barrier at $85,000. A daily close above that level would strengthen the case for a continuation of Bitcoin's uptrend. Failure to clear it could leave the price consolidating as buyers and sellers reassess the recovery. On the downside, the 50-day EMA at $80,195 provides the first significant dynamic support. A deeper decline would bring the 100-day EMA at $76,411 and the 200-day EMA at $75,744 into focus. Below that support band, more distant horizontal levels are identified at $66,500 and $62,300.
For now, Bitcoin's position above its major moving averages supports the broader bullish structure, while $85,000 remains the key near-term hurdle. The market will likely watch for a daily close above resistance to confirm the next leg higher, or a break below support to signal further downside.
This article is for informational purposes only and does not constitute financial advice.
