Bitcoin bounces off $114.9K with a higher high above $116K and targets $118K resistance.
Market analysts say a confirmed hold could unlock momentum for altcoin rallies.
Bitcoin price stands at $118,121, up 3.93% over the past week.
Bitcoin has continued to trade above the $116K mark despite the recent falls and this has strengthened this zone as a key support level as the market looks more at a possible breakout above the $118K mark.
$116K Recovery Reinforces Market Structure
The move above $116K followed a rebound from $114.9K, an area supported by the 50-day simple moving average and a key demand zone. Price action has also lifted above the 21-day exponential moving average, an indicator traders often view as a shift toward short-term bullish control.
Trading has since narrowed, with Bitcoin moving in a tight band just above $116K. Market participants are watching whether this consolidation can act as a launch point. A push beyond $118K would clear a resistance level that has capped advances in recent weeks and could set sights on the $120K area.
Analyst Sees Retest as Potential Altcoin Catalyst
In a post on X, Alpha Crypto Signal (@alphacryptosign) described the $116K retest as the possible “ignition” for altcoin activity. The analyst noted that the modest upticks in altcoins over the past few sessions may be positioning ahead of broader moves.
https://twitter.com/alphacryptosign/status/1954360187080593867
Stable Bitcoin usually allows capital rotation to altcoins, especially those that have greater volatility profiles. That might jumpstart in case it happens and Bitcoin tops above the 118K mark as then it might trigger a market-wide swing. The recent pattern of volumes indicates decreased transaction pressure after August 7, meaning that sellers are losing steam
Market Snapshot and Key Levels
Bitcoin is priced at $118,121 as of the time of writing, reflecting a 0.34% increase over the last 24 hours and a 3.93% gain over the past week. Daily trading volume is reported at $33.51 billion, showing sustained engagement from market participants.
Traders are keeping $116K as immediate support and $118K as the next key resistance in focus. A break higher could extend the advance, while failure to hold $116K may return attention to the $114.9K level.
