During the European session, Bitcoin (BTC) is hovering near $110,000, with the 50-day EMA blocking a clear path higher. Earlier today, BTC extended its Halloween slump, dropping below $110K as traders brace for a potential weekend rebound.
This movement follows days of tight consolidation within a symmetrical triangle, a classic pattern signaling indecision before a volatility surge. Currently, BTC trades around $110,162, with buyers defending $106,300 and sellers capping upside near $112,000.
The market’s hesitation reflects broader risk sentiment after the Federal Reserve’s dovish tone on liquidity. BTC’s narrowing price action suggests reduced volatility—often the calm before a big breakout. Analysts note: “The structure is compressing, and we’re approaching an inflection point.”
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BTC Technical Setup: Breakout on the Horizon
On the 4-hour chart, BTC shows signs of short-term bullish pressure as it bounces off the lower trendline, forming a bullish engulfing candle. Still, the 50-day EMA ($111,240) remains below the 200-day EMA ($112,685), keeping the short-term bias neutral to slightly bearish.
RSI: 46, turning upward from oversold levels—early signs of recovery.
Candles: Repeated spinning tops indicate market indecision.
Price action within the symmetrical triangle points to a volatility spike likely within days.
Key Levels to Watch:
Resistance: $112,000 | $116,300 | $119,700
Support: $106,300 | $103,400 | $100,200
Weekend Outlook:
If BTC breaks $112,000 with volume confirmation, a short-term rally toward $116K–$119K could be on the cards. Conversely, a drop below $106,300 risks a slide to $103,400.
Many traders anticipate a “weekend pump”, a common pattern after selloffs when thin liquidity triggers sharp rebounds. With broader liquidity expected to expand following the Fed’s latest pivot, Bitcoin’s November direction could soon become clear.
For now, long positions above $112,000 look favorable, but caution is advised until a confirmed breakout occurs. Will this Halloween dip be a treat or another trick? It depends on how BTC handles the upcoming volatility.
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