Bitcoin (BTC) Surges Past $89,000, Reigniting Hopes of Bullish Breakout

Bitcoin (BTC) surged past the $89,000 mark early Tuesday, posting its highest price since early March, and reigniting hopes of a bullish breakout.

Bitcoin (BTC) price surged past the $89,000 mark in the early hours of Tuesday, hitting its highest level since early March and reigniting hopes of a bullish breakout. However, with a critical resistance zone now looming at $90,000, traders are expressing caution as the world’s leading cryptocurrency tests a major psychological and technical level.

According to data from TradingView and Cointelegraph Markets Pro, Bitcoin’s upward momentum picked up during U.S. trading hours on April 21, supported by robust demand in the spot market. Yet despite the rally, analysts warn that the next leg higher could face stiff resistance between $90,000 and $92,000, potentially stalling the rally unless bulls manage to breach the zone convincingly.

$90K level: A technical and psychological barrier

The $90,000 level is not just a psychological milestone—it also aligns with key technical markers. Popular crypto analyst Daan Crypto Trades noted on X (formerly Twitter) that Bitcoin is now approaching a “major horizontal area” that previously served as a strong support level, which could now flip into resistance.

“The price has consolidated just below $89K, and we’re now testing an area that historically marks a battleground,” the trader said. Adding to the significance, the 200-day simple moving average (SMA) is also sitting just above current levels, further strengthening the case for a tough ceiling near $90,000.

The 200-day SMA is a commonly used indicator that can signal the long-term trend of an asset. In the past, when Bitcoin has broken above the 200-day SMA during bear markets, it has led to substantial rallies. However, if the price fails to hold above the SMA and instead drops below it during bull markets, it can signal a deeper correction.

On-chain metric to keep an eye on

Meanwhile, Head of Research at CryptoQuant, Julio Moreno, highlighted that the realized price range between $91,000 and $92,000 would be crucial to watch for Bitcoin bulls.

According to Moreno, this metric—which is calculated by taking the average price at which coins last moved—usually acts as resistance during bearish or corrective phases.

“Bitcoin has recovered sharply, but we'll be watching if it can break through this realized price range. It might influence the direction of the next major move.”

What makes this price move particularly interesting is its macroeconomic context. With uncertainty surrounding U.S. monetary policy and renewed weakness in the U.S. dollar, many investors are shifting funds into alternative assets. Gold has already soared more than 30% year-to-date, and Bitcoin is increasingly being seen as a digital safe haven.

As markets reprice risk, some analysts believe BTC could continue its upward trajectory—especially if it manages to clear the $90K barrier. From a technical standpoint, breaking through that level could pave the way for a return to the $100K-$110K consolidation zone that defined late 2024.

Traders view pullbacks as buying opportunities

Despite the current resistance, traders remain bullish on dips, viewing any retracement as an opportunity to accumulate. As one veteran trader pointed out, “We’re in a high-probability pullback zone, but this doesn’t look like a market you want to short. The momentum is shifting back to the bulls.”

Dollar-cost averaging strategies are also returning as investors gradually rebuild exposure, anticipating a long-term breakout. Several prominent traders have shared that they continue buying into weakness, expecting Bitcoin to maintain its relative strength in a volatile macro environment.