Bitcoin – Breaking Key Support Levels Increases Risk of Deeper Pullback

Bitcoin tumbled over 6% in early Tuesday trading, with strong selling pressure emerging in the Asian and early European sessions amid deteriorating market sentiment.

The latest decline broke through the critical 90K support zone, the lower boundary of the broader 90K–110K range, signaling a strong bearish shift. A confirmed close below this level would reinforce the downside momentum and pave the way for a deeper correction, especially as bears also breached the pivotal 87,801 Fibonacci support (38.2% retracement of the 52,563–109,582 rally).

A break below the range floor would further complete a double top pattern on the daily chart, adding to the growing bearish signals.

Technical indicators support the bearish outlook, with momentum turning negative and daily Tenkan/Kijun-sen lines diverging downward after forming a bearish crossover.

However, oversold conditions and the sharp drop may trigger a brief consolidation before further downside movement. The broken 90K level has now turned into resistance, which should ideally cap any corrective bounces and maintain the bearish bias toward the 81,200–81,000 zone (200DMA / 50% Fibonacci retracement).

Res: 89038; 90000; 91759; 93292

Sup: 86784; 85132; 81235; 81059