Bitcoin Shows Strength After Volatile Trading Week
Bitcoin (BTC) has been through another week of wild price swings, but it has held steady around $110,000, which shows that optimistic enthusiasm is back. Even if the price has changed a lot, BTC’s ability to stay above critical support levels signals that the market may be getting ready for another rise.
The next big milestone, according to analysts, might be a retest of the $120,000 area. Both technical and psychological indicators point to the formation of a new bullish structure, which might lead to another rise as we approach the last quarter.
Key Support at $105,971 Reinforces Market Confidence
The 4-hour chart shows that Bitcoin is still trading in a descending triangle formation, which usually comes before a bullish turnaround. The $105,971 support zone has stayed strong despite many tests to the downside, which means that short-term bearish predictions are no longer credible.
This price movement shows that both institutional and ordinary investors are quite interested in purchasing. The structure supports moving higher as long as BTC stays above this level. The next goal might be the $113,545 mark.
Bitcoin Regains Momentum as Holder Sentiment Shifts Toward Neutral Zone
The momentum values are going back up. Holder Sentiment, which has been negative since early October, is currently moving into the neutral zone, which means that bearish momentum is waning. Usually, this change happens before short-term recoveries and momentum expansions.
Bitcoin’s price has also gone above the 20-period Exponential Moving Average (EMA), which is a sign that the trend is changing. If buyers keep this crossing going, it would mean that a fresh bullish wave is starting and that the $118,000 to $120,000 goal area is more likely to be reached.
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CPI Report Could Determine Short-Term Market Direction
The next US Consumer Price Index (CPI) release will still be an important factor in Bitcoin’s short-term direction. Analysts think that a lower inflation number might make people feel more risky and help BTC break through barrier levels.
However, CPI data that is better than expected may cause short-term selling pressure, which might lead to consolidation. Ted Pillows, an investor, said, “If BTC can hold $110,000 and get back to $113,000 to $114,000, we’ll see more upside.” But a false breakout might lead to a reversal.
BTC Eyes $120K Breakout as Megaphone Formation Confirms Bullish Trend
Bitcoin has made a megaphone formation on the daily chart. This pattern is frequently linked to more volatility and big price fluctuations. If the price breaks over $115,157, it will confirm that the market is still bullish and set the stage for $120,000 and $123,341.
This kind of move would confirm the larger upward trend that started in early October. Traders are now keeping an eye on whether this pattern can keep going up without causing another dramatic drop like those that happened during earlier rallies.
Bullish Targets Align With Historical Resistance Zones
The next objectives for BTC are $120,000 and $126,277 if it can get beyond the $113,545 and $115,157 resistance levels. These areas are the same as the previous peaks seen during the early October surge, when Bitcoin hit its all-time high of around $126,000.
Analysts say that if Bitcoin breaks through these levels, it might attract fresh institutional money from ETF and corporate purchasers, which would get the market excited about the next leg up for Bitcoin.
Bitcoin Holds $105K Support as Bulls Target $120K Ahead of CPI Report
Bitcoin’s technical structure is still robust, even if it has been volatile lately. There is strong support at $105,971 and bullish momentum is increasing above major moving averages. The next CPI data will probably decide whether BTC moves quickly toward $120,000 or stops to consolidate.
For present, the data points to a market structure that is strong. Bitcoin might soon test $120,000 again if macro conditions are good and support zones stay strong. This would be the next important step in its ongoing cycle recovery.
