BTC Breaks Cup Pattern, Target Fibonacci Extension

Bitcoin maintains a bullish momentum above the support level of $106,000, with resistance locked at $108,000 after a 75% increase from the April low. The breakout of the cup pattern and the strong 50-week MA support near $84,000 indicate a strong reversal and potential long-term uptrend. The Fibonacci target levels are $120,000, $127,000, and $137,000, aligning with the channel highs, suggesting that if the current resistance is broken, the price will rise further.

Cup Pattern Indicates Strong Reversal Potential

Bitcoin recently broke through the cup bottom formed over the past few months. This reversal pattern suggests the continuation of a bullish trend. Moreover, the bottom of the pattern closely aligns with the 50-week moving average (around $84,000). This yellow line constitutes strong technical support. Additionally, the ascending green channel defines a long-term bullish range. Breaking through this structure could lead to further gains.

Moreover, breaking through the historical resistance level of $91,618 reflects structural strength. This area also aligns with the average upward level of $92,000. This breakout confirms strong market confidence, indicating that the accumulation phase in Q1 2025 lays a solid foundation.

Fibonacci Levels Indicate Strong Upside Targets

Bitcoin has currently broken through the Fibonacci retracement levels of 0.786 and 0.888, located around $100,287 and $104,259, respectively. These breakouts confirm Bitcoin's long-term momentum. Therefore, the next short-term target is $108,802. If Bitcoin breaks through this level, the focus will shift to the Fibonacci extension levels. These Fibonacci extension levels are $120,677 (1.272), $127,383 (1.414), and $137,674 (1.618).

Additionally, all these levels are located within the upper green channel, forming a dynamic roadmap. The upper resistance trend line acts as an upper limit. However, any movement that breaks this trend line suggests that the price will accelerate towards $130,000. The K-line pattern from May shows strong bullish entities and very small shadows. This indicates strong buying pressure. Moreover, no bearish divergence has occurred, and the 50-week moving average is on an upward trend. Therefore, unless a lightning crash triggers short-term turbulence, Bitcoin is still expected to rise further.