Thomas Daniels
Share it!
Bitcoin’s current consolidation, marked by a narrow trading range between $115K and $120K, is setting the stage for a potential surge to $135K. Despite facing significant selling pressure at the $120K resistance level, bulls have managed to hold firm, suggesting that the cryptocurrency may soon break out to new highs.
Key Market Insights
- Resistance at $120K–$123.2K: Bitcoin faced resistance at $120K on Wednesday, triggering $285.2 million in net outflows from U.S.-based spot exchange-traded funds (ETFs) over the past three days, as per Farside Investors data. These outflows indicate that investors have grown cautious in the short term. However, Bitcoin’s failure to dip below $115K signals ongoing support from the bulls.
- Technical Indicators Point to Bullish Potential: Bitcoin is trading near its 20-day simple moving average (SMA) of $115,961, and the relative strength index (RSI) remains in the positive zone. With the 20-day SMA sloping upward, the technical setup suggests that the path of least resistance remains to the upside. A push above the $120K–$123.2K resistance zone could spark a rally, sending Bitcoin’s price toward $135,729, and possibly as high as $150,000.
- Crucial Price Levels to Watch:
- Bullish Case: A breakout above $123,218 could confirm the resumption of the uptrend, with Bitcoin possibly reaching $135,729 and even $150,000 in the coming weeks.
- Bearish Case: A sustained drop below the 20-day SMA or the $115,500 level could signal the end of the current bullish momentum, potentially pushing Bitcoin down to $110,530, where buyers are expected to re-enter.
Bitcoin Price Forecast
| Scenario | Trigger | Price Target |
|---|---|---|
| Bullish | Break above $123.2K | $135,729 → $150K |
| Sideways | Continued consolidation at $120K range | Consolidation |
| Bearish | Break below $115.5K | $110,530 |
A tight consolidation near Bitcoin’s all-time high suggests that buyers remain confident, anticipating another leg higher. A breakout above $123,218 could be the catalyst for the next significant move, positioning Bitcoin for a potential climb toward $135K.
Watch List: Key Levels to Monitor
- Immediate Resistance: $120K–$123.2K range
- Support Levels: 20-day SMA (~$116K), $115.5K
- Critical Floor: $110,530
