Bitcoin Price Expansion To $97,000 Is Only Being Blocked By One Pesky Retest

Bitcoin's technical setup shows promise for a rally to $97,000, but analysts believe the cryptocurrency needs to retest the $71,900-$72,000 demand zone first to establish a solid foundation. The breakout above a long descending resistance line is bullish, though completion requires revisiting this key support level before the next major expansion phase can materialize.

Bitcoin has broken above a significant long-term resistance line on the 4-hour chart, suggesting renewed bullish momentum. However, technical analysis reveals an incomplete setup that requires validation through a retest of the $71,900-$72,000 demand zone—an area that previously demonstrated strong buying interest. This retest would not indicate weakness but rather allow the market to absorb remaining sell orders and establish a stronger foundation for higher prices.

The bullish scenario traces back to Bitcoin's recovery since late February, guided by a rising support trendline that continues to hold. Recent price action briefly pushed above $80,000 over the weekend, though the surge failed to close above that psychological level, highlighting the importance of confirmed daily closures for signal validation. The broader market environment supports this bullish thesis, with US Spot Bitcoin ETFs recording $630 million in inflows on May 1 alone, reflecting institutional demand.

For traders monitoring the setup, two critical milestones lie ahead. A daily close above $80,000 would signal the beginning of the expansion phase, while a close above the 200-day moving average at $83,600—untested since October 2025—would represent major confirmation. The invalidation level sits at $67,500; a breakdown below this threshold would invalidate the bullish retest hypothesis and suggest sellers have regained control. The proposed target of $97,400 offers substantial upside potential, though the path requires disciplined adherence to technical levels rather than straight-line appreciation.

• →Bitcoin needs to retest the $71,900-$72,000 demand zone before rallying to $97,000, not as weakness but as technical completion
• →A daily close above $80,000 would signal the start of the expansion phase, with the 200-day MA at $83,600 as the next major confirmation level
• →Invalidation occurs below $67,500; breaking this level would indicate the breakout has failed and sellers control the short-term structure
• →Heavy inflows into US Spot Bitcoin ETFs ($630 million on May 1) provide institutional support for the bullish narrative
• →Bitcoin has not closed above its 200-day moving average since October 2025, making reclamation of this level critically important for sustained gains