Bitcoin's Weekend Price Action Set to Be Influenced by Key Levels

Bitcoin's recent price action has been marked by a failed breakout above $81,000 on August 28, which has led to a re-evaluation of its prospects. With the cryptocurrency currently trading near $78,000, traders are watching key levels around $77,000 and $80,000.

The rejection from above $81,000 came after Kevin Warsh's comments at Jackson Hole lifted rate-hike odds to 55% from 40%. This repricing put Bitcoin below $80,000 by the close of trading, turning a level that buyers had briefly reclaimed back into resistance.

The weekend's price action will be influenced by the expiration of Deribit options worth around $6.44 billion, which removed an anchor that had kept prices near key strikes throughout the week. The removal of this positioning cluster may allow Bitcoin to move more freely away from the $75,000-$80,000 range.

Traders are watching several levels, including $77,000, $80,000, and $82,000, with a break above or below these areas potentially setting the tone for the rest of the weekend. A reclaim of $80,000 could suggest buyers have absorbed the hawkish shock from Warsh's comments and turned the failed breakout back into a bear trap.