Resistance

Definition ∞ Resistance, in financial market analysis, denotes a price level at which an asset has historically found it difficult to move higher, indicating strong selling pressure. This level acts as a barrier to upward price movement. Traders often monitor resistance levels to anticipate potential price reversals or breakouts.
Context ∞ Crypto news frequently analyzes resistance levels as key indicators of market sentiment and potential price ceilings for digital assets. Discussions often involve identifying these levels on price charts and assessing their significance for trading strategies. The ability of an asset’s price to overcome or fail at these resistance points is a critical factor in determining its short-term trajectory.