BTCUSD challenges a key resistance zone, driven by rising expectations of a Trump election victory

BTCUSD maintains a firm tone, hovering near its new record high of 73,839 reached in March, after a strong 3.6% surge on Tuesday pushed it above 73K for the first time in seven and a half months, nearing its all-time peak.

Bitcoin has been in a broader uptrend over the past two months following a correction from record highs, with this recent rally suggesting the corrective phase may be nearing completion.

Geopolitical and economic uncertainty, along with rising expectations of a Trump election victory (which markets perceive as favorable for cryptocurrencies), has provided significant tailwinds for Bitcoin.

Daily technical indicators are bullish but overbought, adding an element of caution as the price tests a critical resistance zone.

Bulls broke above the trendline at 72,725, marking the upper boundary of a larger bullish channel. A firm breakout through this trendline and the record high is needed to signal a continuation of the bullish trend.

However, Tuesday’s false break above the trendline (with a daily candle showing a long upper shadow) indicates possible selling pressure, suggesting caution as the price continues to test this zone.

The near-term bias is likely to remain bullish while the price holds above the 72,000 level (recent highs) and guards the 70,000 pivot point. A drop below this pivot would likely signal a deeper pullback.

Upcoming U.S. economic data (GDP, labor reports) will be closely watched, though a stronger directional signal is expected from the U.S. election results.

A Trump victory would likely fuel fresh bullish momentum, with some analysts predicting Bitcoin could rally towards 100K in the coming months. On the other hand, a victory for Harris could prompt a short-term sell-off, though not necessarily a long-term downturn, as the Democratic platform also holds a positive stance on cryptocurrencies.

Res: 72725; 73615; 73839; 74961
Sup: 72960; 72000; 71000; 70000