As technical indicators and changing macro conditions point to a possible recovery, Bitcoin might be forming a bottom

In an analysis published on Mar. 24, crypto analytics firm 10X Research highlighted the recent consolidation and shifting

Technical indicators and changing macro conditions are hinting at a possible recovery for Bitcoin, suggesting that the cryptocurrency might be forming a bottom.

Crypto analytics firm 10X Research highlighted this in an analysis published on Thursday, as analysts adjust their outlook following recent developments.

After Bitcoin dropped below $95,000, confirming a breakdown from its ascending broadening wedge, analysts were expecting a more severe correction. However, a more favorable macro environment and improved technical indicators have led to a more optimistic outlook.

One of the main causes of this shift in sentiment is the Federal Reserve’s recent policy position. The FOMC meeting went as expected, and the Fed signaled a willingness to look beyond short-term inflationary pressures. Analysts now predict rate cuts in the second half of the year, which supports a more favorable macro environment for risk assets like Bitcoin.

Furthermore, Donald Trump’s recent comments about postponing the tariff announcements from April 2 present a softer stance than his prior statements. This shift could help Bitcoin sustain its recent stability by reducing short-term uncertainty.

Despite these promising developments, Bitcoin continues to encounter strong resistance between $90,000 and $92,000. According to 10X Research, until it exits this range, the larger market is likely to keep consolidating.

Institutional investors are also approaching with caution ahead of important corporate earnings reports in April, which could affect the overall mood of the market.

As of press time, Bitcoin is trading at $86,917, showing a slight upward momentum after rising from recent lows. The MACD level is indicating a potential bullish shift, although confirmation is required.

The RSI at 51 indicates that Bitcoin is neither overbought nor oversold, which is neutral for the market. With prices remaining above significant levels, short-term moving averages are supporting a bullish trend. However, the 100-day and 50-day moving averages continue to suggest potential resistance and downward movement.

Currently, there is no clear breakout from the Ichimoku Base Line, which aligns with the current price. The Bollinger Bands show that the price is nearing the midline, which could signal a breakout or rejection in the near future.

For Bitcoin to overcome the next resistance level, which is around $90,000, it needs to rise above $87,000 to $88,000. If rejected, support can be found around the levels of $84,500 to $85,000.

In other news, investor sentiment seems to be improving as last week saw the first inflows into Bitcoin exchange-traded funds since January. A more favorable macro environment and less selling pressure could support Bitcoin’s next upward move, despite the current risks.