Bitcoin is positioned for a potential breakout as it consolidates below key resistance levels. The asset currently trades at $103,779, showing signs of building momentum after reclaiming major technical thresholds.
According to data from TradingView, the first significant resistance is at $104,780. This level previously made local tops at the beginning of the current rally and has now turned into a temporary top. A break above it may induce explosive buying pressure, with bulls once again back in control.
Right above this zone, we find the $106,000 level, which is in tandem with the extended Fibonacci retracement projections. This price area has previously acted as a point of decision-making and the resultant hesitation among traders. A break above $106,000 may create bullish momentum and set the scene for further bullish price action.
The above level, the most crucial focus, is $ 109,000. Market observers view this price as the last snap before Bitcoin can take on its all-time high level. The recent downward move brought out the previous consolidation zone that came into action in the last upward move and saw $109,000 from the zone. However, if bulls break above this resistance, the technical resistance may substantially tumble, enabling a swift rally to unknown realms.
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Momentum Indicators Reinforce Bullish Expectations
Technical indicators continue to favor the bulls as the 50-day exponential moving average approaches a crossover above the 100-day EMA, a sign often associated with building upward pressure.
The Relative Strength Index remains steady near 70, which indicates strong momentum without signaling overbought conditions. While volume levels are unchanged, the present price action is forming and receiving credibility, indicating the presence of healthy market activity behind the recent consolidation.
Source: Tradingview
Last month, we saw the formation of an additional triangle on the lower part of the BTC/USD chart, which confirms expectations of the crypto asset’s breakout from the triangle. Bitcoin seems to be in the final preparation stage for the major breakout. Resistance levels have now been identified, and indicators are technical; attention is on whether bulls can push further and break $109,000.
Bitcoin is at a tipping point that could decide its overall price. If buyers clean up the $109,000 level, the way may be laid quickly to a new all-time high. Traders are on their toes, waiting for the next bold move from the market.
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