Here's my updated chart for Bitcoin (BTC/USD) on the daily timeframe. The price action is currently testing a key zone that could define whether we're heading into the next major leg up, or facing another rejection.
Pattern Breakdown:
- BTC is respecting a bull flag formation after a strong impulse leg earlier this year.
- The $105K level has held as critical support, keeping the bull flag structure intact.
- Price is currently pressing against descending resistance (~$107K) with tightening consolidation indicating an imminent breakout decision.
Key Levels to Watch:
Support:
$105K – holding this level keeps bullish momentum valid.
$101.6K (Bollinger midline)
$100.4K (EMA 100) – must hold for macro trend to stay intact.
Resistance (before $112K):
$107K – major descending trendline resistance.
$110.1K – upper Bollinger Band and recent local high.
$112.45K – key breakout level from the flag. A daily close above this could trigger a sharp rally.
Indicators:
MACD is forming a bullish crossover but lacks strong momentum, watch for a green histogram to confirm.
RSI at ~51 gives BTC room to run, not in overbought territory.
Volume is low, but coiling tight near the apex could spark volatility.
Conclusion:
BTC is at a critical decision point. A clean breakout above $107K, followed by sustained momentum through $110K–$112K, would significantly raise the probability of a confirmed bull flag breakout, with a potential move toward $120K+.
However, the $105K level is a key support that must hold to keep this structure intact.
If we see a daily close below $105K, attention shifts to the $101K level (Bollinger Band midline + 53 SMA).
A close below $101K would invalidate the bull flag entirely, turning this setup into a potential bull trap, and shifting short-term bias bearish.
All eyes are on the $107K–$112K resistance zone for confirmation—or breakdown signals if support levels give way.
Pattern Breakdown:
- BTC is respecting a bull flag formation after a strong impulse leg earlier this year.
- The $105K level has held as critical support, keeping the bull flag structure intact.
- Price is currently pressing against descending resistance (~$107K) with tightening consolidation indicating an imminent breakout decision.
Key Levels to Watch:
Support:
$105K – holding this level keeps bullish momentum valid.
$101.6K (Bollinger midline)
$100.4K (EMA 100) – must hold for macro trend to stay intact.
Resistance (before $112K):
$107K – major descending trendline resistance.
$110.1K – upper Bollinger Band and recent local high.
$112.45K – key breakout level from the flag. A daily close above this could trigger a sharp rally.
Indicators:
MACD is forming a bullish crossover but lacks strong momentum, watch for a green histogram to confirm.
RSI at ~51 gives BTC room to run, not in overbought territory.
Volume is low, but coiling tight near the apex could spark volatility.
Conclusion:
BTC is at a critical decision point. A clean breakout above $107K, followed by sustained momentum through $110K–$112K, would significantly raise the probability of a confirmed bull flag breakout, with a potential move toward $120K+.
However, the $105K level is a key support that must hold to keep this structure intact.
If we see a daily close below $105K, attention shifts to the $101K level (Bollinger Band midline + 53 SMA).
A close below $101K would invalidate the bull flag entirely, turning this setup into a potential bull trap, and shifting short-term bias bearish.
All eyes are on the $107K–$112K resistance zone for confirmation—or breakdown signals if support levels give way.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.
Disclaimer
The information and publications are not meant to be, and do not constitute, financial, investment, trading, or other types of advice or recommendations supplied or endorsed by TradingView. Read more in the Terms of Use.