Bitcoin Price Analysis: BTC Faces First Major Test After 13% Weekly Rally

Bitcoin’s latest leg up has carried the price directly into a major overhead supply region, putting the rally at an important test. Momentum remains constructive, but the reaction around the $86K-$89K area could determine whether the move develops into another bullish leg or pauses for a deeper retest. Bitcoin Price Analysis: The Daily Chart On the daily timeframe, Bitcoin has extended its recovery significantly after breaking out of the previous corrective structure. The asset is now trading around $86K and has entered the major $86K-$89K resistance zone highlighted on the chart. The broader structure remains bullish. BTC is comfortably above both moving averages, while the sharp recovery from the $75K area has established a clear sequence of higher prices. However, the current resistance zone is substantial, and the latest candles show some hesitation after reaching it. There is also a notable momentum divergence developing. While the price has pushed to a higher high, the RSI has failed to confirm that strength and remains below its previous peak. This bearish divergence does not necessarily signal an immediate reversal, but it suggests that upside momentum is not expanding at t...