By Chris Hollingworth 
Bitcoin’s price has started Q2 on a strong note, surging by 5.53% to reach an intraday high of $87,333 on April 2. This upward movement comes after a ten-week downtrend that began on Jan. 20 when the price hit its peak at $110,000. A decisive break above the trendline could potentially pave the way for further bullish momentum for Bitcoin in the days ahead.
Spot traders on major exchanges have played a significant role in driving the recent rally. In March, traders on Binance and Coinbase had contrasting positions in the market, with Binance traders being aggressive sellers of BTC, while Coinbase showed notable spot bids around the $80,000 price level. However, as we entered April, spot traders on these exchanges have collectively turned bullish, with buying pressure increasing notably. Data from aggr.trade indicates that spot bids on Coinbase and Binance have been instrumental in driving positive price action for Bitcoin.
Technically, Bitcoin has managed to flip a crucial resistance zone between $84,000 and $85,000 into a support level. The cryptocurrency is also trading above the 50-day, 100-day, and 200-day exponential moving averages (EMAs), signaling a bullish stance. Despite this positive outlook, there might be some resistance in the price range between $87,700 and $88,700, which could impede immediate further upside. A period of consolidation within this range could set the stage for a retest of the $90,000 level, not seen since early March. However, a correction back to the support levels at $84,000 and $85,000 could dampen bullish sentiment and potentially invite short sellers into the market.
Market participants are keeping a close eye on external factors, such as the potential market volatility surrounding President Trump’s “Liberation Day” tariffs. The upcoming White House press conference at 4 pm Eastern Time is expected to provide further insights into market movements. While some analysts project a positive outlook for Bitcoin’s price, there are also concerns of a bearish scenario if the price dips below key support levels in the coming days.
It is essential to note that this article does not offer investment advice or recommendations. All trading and investment decisions carry inherent risks, and individuals are advised to conduct thorough research before making any financial decisions.
