$BTC Bitcoin price recovered slightly, closing above the midpoint of the horizontal parallel channel at $87,787 on Monday, after a correction of 7.48% last week. BTC continued its recovery on Tuesday and was trading close to $89,400 at the time this news was written on Wednesday.

If $87,787 continues to hold as support, BTC may continue its rally towards the upper boundary of the horizontal pattern at $90,000. A close above this level could extend gains towards the 50-day Exponential Moving Average (EMA) at $91,327.

The Relative Strength Index (RSI) on the daily chart is at 46, trending upwards towards the neutral level of 50, indicating a fading bearish momentum. For the recovery rally to be sustained, the RSI must move above the neutral level. Additionally, the Moving Average Convergence Divergence (MACD) line is converging, with the red histogram bars fading below the zero line, further supporting the potential recovery thesis.

On the other hand, if BTC closes below the $87,787 support on a daily basis, this could extend the decline towards the lower consolidation boundary at $85,569

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