Bitcoin is currently in an ascending triangle which could cause it to break up and rise if the resistance line is broken.
Strong opposition can be expected between $104,300 and $104,900, with a move beyond that range aimed at $108,000.
If the price drops below $102,771 support, the bullish pattern could fail and BTC may move to $101,000.
Bitcoin (BTC) is currently showing signs of forming a potentially bullish structure as price action continues to consolidate near a significant resistance zone. According to the recent price moves, some analysts see an ascending triangle as a sign that the trend will continue upward. Right now, traders are closely following Bitcoin’s movement, as it could mean the future shift in the trend.
Consolidation Below Resistance Levels
BTC/USDT on the 2-hour chart has been trading within a narrowing range, making higher lows along an ascending support line. At the same time, there have been successive rejections around the $104,300 to $104,900 area—marking this zone as the key resistance area. This convergence of support and resistance has shaped a classic ascending triangle, a pattern that traders often view as a precursor to upward movement, provided the price breaks above the resistance level.
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The price is currently around $103,839, a reasonable 0.9% gain within the last 24 hours. Although upward pressure continues to hold, the point of breakout has not been tested. The price action remains contained within the triangle, which is normally the precursor to a breakaway move.
Technical Outlook and Possible Scenarios
If Bitcoin can close above the $104,900 mark with strong volume, it could confirm the triangle breakout and possibly lay the groundwork for the ride up to the $108,000 mark. Such a move would, however, most likely rely on sustained buying interest as well as support from the broader market. On the downside, a breakdown of the rising trendline that is currently respecting at about $102,771 could lead to a short-term correction and possibly see the $101,000 level.
The recent 24-hour price action has been tight, which is reflective of a volatility build-up. Historically, periods of low volatility in a consolidation configuration have tended to occur just before the major moves. That adds further importance to the present technical arrangement.
Market Sentiment and Broader Implications
While short-term technicals indicate potential for a breakout, overall market sentiment and macroeconomic factors continue to dictate direction in price. As Bitcoin trades near a meaningful technical level, market participants are adopting a cautious attitude, observing that any breakdown or breakout will need confirmation in the form of follow-through action.
It remains unclear whether bulls can build up enough strength to beat the resistance and hit a new record level. The ascending triangle pattern is still visible and as long as prices are contained between support and resistance, it helps define Bitcoin’s direction.
