Bitcoin Rally Nears $87K as BTC Tests Major Resistance Again

Bitcoin (BTC) climbed to nearly $87,000 early Monday before sellers stepped back into the market, stopping the latest Bitcoin rally just short of a new high.

The move marked the second time this week that the Bitcoin price has struggled to break through resistance around the same level.

BTC reached approximately $86,950 after building momentum throughout the weekend. The rally accelerated into Monday before selling pressure knocked close to $1,000 from the intraday high.

Bitcoin was still trading just below $86,000 during the Asian morning session, leaving BTC roughly 1.3% higher on the day.

For more, follow our Bitcoin news and broader crypto market coverage.

Bitcoin Price Tests $87K Resistance Again

The area around $87,000 to $87,400 is becoming an important short-term level for Bitcoin.

BTC has now tested that zone twice without managing to establish a convincing breakout.

The previous attempt followed softer-than-expected US inflation data, which helped Bitcoin climb toward $85,500 before the rally quickly lost momentum.

The latest move came after weaker US employment data increased expectations that the Federal Reserve may have less reason to keep monetary policy restrictive.

Lower expectations for additional rate increases can benefit risk assets because investors may become more willing to move capital toward equities and cryptocurrencies.

Long-term US government bond yields also eased slightly following the jobs data, although yields remain elevated by historical standards.

Bitcoin Rally Lifts Major Altcoins

The stronger Bitcoin rally was accompanied by gains across several major cryptocurrencies.

Dogecoin (DOGE) was among the stronger performers, rising more than 3% and moving toward the $0.10 level.

XRP and BNB also advanced by roughly 1% to 2%, while Zcash posted similar gains.

Ethereum (ETH) and Hyperliquid (HYPE) recorded more modest increases of less than 1%.

Solana (SOL) and TRON (TRX) were comparatively flat.

See our Ethereum coverage and latest altcoin news.

Crypto Market Moves With Global Equities

The broader crypto market moved higher alongside global equity markets.

US technology stocks ended the week at new highs, while several Asia-Pacific markets also advanced.

Japanese equities recorded one of their stronger recent sessions as risk sentiment improved.

Oil moved in the opposite direction, with benchmark crude prices easing following a Saudi price reduction for Asian customers.

The combination of rising equities and cryptocurrencies suggests that investors were generally more willing to take risk following the latest US economic data.

Stronger US Dollar Creates a Mixed Picture for BTC

One factor working against the Bitcoin rally was renewed strength in the US dollar.

A stronger dollar can create pressure for Bitcoin and other risk assets because global investors need more local currency to purchase dollar-denominated assets.

Currency markets showed broad dollar strength during the session, adding another obstacle for BTC as it attempted to break above resistance.

Despite that pressure, Bitcoin's share of the overall cryptocurrency market remained relatively stable.

That suggests the pullback near $87,000 may be more closely related to traders taking profits at a well-established resistance level than investors rotating away from Bitcoin.

What Happens if Bitcoin Breaks $87,000?

The next major signal for traders will be whether Bitcoin can close decisively above the $87,000 to $87,400 area.

An intraday move above resistance is not necessarily enough.

A strong daily close above that zone would provide more evidence that buyers have absorbed the selling pressure that stopped the previous two rallies.

If BTC continues to fail at the same level, however, short-term traders may begin treating the area as a stronger ceiling.

For now, Bitcoin remains close enough to resistance that another test could come quickly if market sentiment stays positive.

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