Bitcoin has taken a hard hit over the past 48 hours, dropping to a low of $81,332 following a global market shock triggered by Donald Trump’s announcement of sweeping tariffs on imports from 185 countries. This policy shift sent tremors across both traditional and crypto markets, dragging down Bitcoin alongside the S&P 500. Yet despite the turbulence, an analyst on TradingView believes the cryptocurrency has now reached what they call the ideal buy zone.
Bitcoin Enters Into Buy Zone, But Trend Is Still Bearish
The analyst behind this observation explained that Bitcoin has now fully entered what they described as the “ideal target zone” based on the hourly bullish structure. This structural level, which has now been fulfilled, means that the recent decline, though steep, is a reasonable correction within an ongoing pattern.
Bitcoin’s entry into the ideal zone is as a result of its break below a key downward trendline on the 1-hour candlestick timeframe chart. This entry occured when Bitcoin broke below $84,700 on April 2 after falling from a lower high of $87,100 on April 2. Such break below provides the best entry to get into BTC at a lesser price and ride the wave up if it can rebound around the support level at $81,000.
Despite that, the analyst also sounded a note of caution. Bitcoin’s daily closing price is below the key descending trend line, indicating that the broader downtrend on the daily chart is still in play. This failed breakout attempt adds risk to the current market setup and underlines the possibility of further declines.
Key Levels To Watch: Resistance And Support Zones Defined
Looking ahead, the analyst identified clear zones for traders to monitor. In the event of a rebound, the resistance area between $84,576 and $86,000 could determine whether Bitcoin can retest higher ground. A clean move above this band would mark a significant shift in market tone.
However, the picture turns more cautious if BTC fails to hold above $81,000. In that scenario, the focus would shift to the support range between $78,363 and $79,500. Holding this lower band could help Bitcoin avoid further breakdowns, as there is a higher chance of a rebound here. However, a breakdown below this support range would likely deepen the bearish trend, leaving the aaset’s price vulnerable to more declines in larger timeframes.
At the time of writing, Bitcoin is trading at $83,695, recovering approximately 2.9% from its intraday low. The immediate market shock following Donald Trump’s tariff announcement appears to be cooling off, and BTC has started to receive inflows again. With this momentum, BTC is now steadily approaching the $84,576 to $86,000 resistance zone.
Featured image from Unsplash, chart from Tradingview.com
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