Bitcoin Price Bounce to Near $104K, Though Encouraging, Falls Short of Bull Revival

This is a daily technical analysis by CoinDesk analyst and Chartered Market Technician Omkar Godbole.

Bitcoin's BTC broader outlook is constructive, but its short-term prospects remain bleak, according to technical analysis.

The leading cryptocurrency by market value has bounced back to nearly $104,000 from its overnight low of $104.30, alongside positive action in U.S. equity futures.

However, a closer look at the hourly price chart reveals that the bounce is likely a classic breakdown and retest play – the cryptocurrency dove out of a head-and-shoulders pattern on Thursday, signalling a short-term bullish-to-bearish trend change, and prices are now revisiting the breakdown point, called the neckline.

This happens because early sellers – those who shorted at the time of the breakdown