Bitcoin has just broken out of a well-defined bull flag structure on the 4H chart, signaling a potential continuation of the previous uptrend.
This breakout comes after a strong impulsive move upward, followed by a textbook flag consolidation with lower highs and lows forming a descending channel. The breakout above the flag resistance suggests a bullish continuation pattern is in play.
Technical Breakdown:
Pattern: Bull Flag (Continuation)
Flagpole base: ~106,700
Breakout zone: ~117,600
Retest Support: 116,000
Immediate Resistance: 122,300
Expected Target: 133,700 (based on flagpole projection)
Invalidation: Breakdown below 115,500
Expected Move:
Measured Move Target: ~13% upside from breakout
Confluence: Target aligns with past supply zone near 133K–135K
Price has also reclaimed the 50 EMA on the 4H chart, and the volume on the breakout shows bullish interest. Watching closely for a clean retest of the breakout zone for confirmation.
Conclusion:
BTC is showing bullish continuation after breaking out of a flag. A successful retest of 117.6K–116K range could offer further upside. Traders should manage risk accordingly.
DYOR | Not Financial Advice
This breakout comes after a strong impulsive move upward, followed by a textbook flag consolidation with lower highs and lows forming a descending channel. The breakout above the flag resistance suggests a bullish continuation pattern is in play.
Technical Breakdown:
Pattern: Bull Flag (Continuation)
Flagpole base: ~106,700
Breakout zone: ~117,600
Retest Support: 116,000
Immediate Resistance: 122,300
Expected Target: 133,700 (based on flagpole projection)
Invalidation: Breakdown below 115,500
Expected Move:
Measured Move Target: ~13% upside from breakout
Confluence: Target aligns with past supply zone near 133K–135K
Price has also reclaimed the 50 EMA on the 4H chart, and the volume on the breakout shows bullish interest. Watching closely for a clean retest of the breakout zone for confirmation.
Conclusion:
BTC is showing bullish continuation after breaking out of a flag. A successful retest of 117.6K–116K range could offer further upside. Traders should manage risk accordingly.
DYOR | Not Financial Advice
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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.
Related publications
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.