Bitcoin maintains bullish momentum above $106K support, eyeing $108K resistance after a 75% rally from April lows.
Breakout from cup pattern and strong 50-week MA support near $84K signal a robust reversal and potential long-term uptrend.
Fibonacci targets at $120K, $127K, and $137K align with channel highs, suggesting further upside if current resistance breaks.
Bitcoin maintains its position above support levels, indicating strong bullish momentum, according to expert EGRAG CRYPTO. Solidly above $106,400, $104,200, and $102,250 is the weekly candle. The increasing trend of Bitcoin appears to be unaffected as long as these thresholds remain intact. The asset is currently testing resistance close to the $108,802 Fibonacci level, trading at $107,757. Following a 75.10% price increase since April, its value has increased by $46,526. The bullish narrative is supported by the price structure, which consistently shows higher highs and higher lows.
Cup Formation Signals Strong Reversal Potential
Bitcoin recently broke out from a cup-shaped bottom that formed over recent months. This reversal pattern suggests a continuation of the bullish trend. Besides, the base of the pattern aligns closely with the 50-week moving average near $84,000. This yellow line acts as strong technical support. Moreover, the ascending green channel defines a long-term bullish range. A breakout from this structure could lead to further upside.
Source: EGRAG CRYPTO
Additionally, the breakout above historical resistance at $91,618 reflects structural strength. This zone also aligns with the average pump level of $92,000. The breakout confirms strong market conviction, showing that accumulation phases in Q1 2025 provided a solid foundation.
Fibonacci Levels Indicate Strong Upside Targets
Bitcoin has now surpassed the Fibonacci retracement levels of 0.786 and 0.888, which are located around $100,287 and $104,259. Long-term momentum is confirmed by these breakouts. Because of this, $108,802 is the next immediate aim. The emphasis switches to Fibonacci extensions if Bitcoin breaks this barrier. These are $120,677 (1.272), $127,383 (1.414), and $137,674 (1.618).
Moreover, all these levels lie within the upper green channel, providing a dynamic roadmap. The upper resistance trendline acts as a ceiling. However, any breakout above that would signal acceleration toward $130,000.Candlestick patterns from May show strong bullish bodies and minimal wicks. This signals aggressive buying pressure. Furthermore, no bearish divergence is visible, and the 50-week moving average trending upward. Consequently, Bitcoin remains poised for further gains unless a flash crash triggers a short-term shakeout.
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