On May 24, 2025, Bitcoin (BTC) is trading at $109,273, reflecting significant pricing in a lively trading session. With a market capitalization of $2.17 trillion and a 24-hour trading volume of $46.66 billion, the price fluctuates between a daily low of $107,156 and a high of $109,840.
On the daily chart, Bitcoin (BTC) is in a bullish trend despite the recent pullback from a local high of $112,000. The support zone around $98,000 - $100,000 remains critical, supported by historical demand earlier in the month. Resistance is clearly defined at $112,000, where significant selling pressure has emerged.
While the previous green candle in the rally was supported by volume, the red candle at the top indicates caution. If Bitcoin holds above the $106,000 - $107,000 range and produces a bullish engulfing candle, traders may view this as a strategy entry point, while exhaustion signals near $112,000 will ensure an exit.
The 4-hour chart presents a story of local correction, tracking a descending channel after peaking at $112,000. A recovery above $109,000 signals potential reversal, although with diminishing trading volume following a prior panic-induced drop. The technical pattern suggests a bullish breakout if Bitcoin closes above $110,000 with volume confirmation. Conversely, a drop below the $108,000 threshold with markedly reduced trading volume could signal a return to the $106,000 level, bringing caution back to the market.
Short-term price action on the 1-hour chart shows a swift drop from $111,748 to $106,827, followed by a gradual recovery. An emerging inverse head and shoulders pattern, characterized by the formation of the right shoulder, supports a bullish outlook in the short term. Breakout confirmation lies between $109,500 and $110,000. If Bitcoin drops and closes below $108,000 with notable selling activity, this would invalidate the reversal premise and indicate new bearish momentum.
Mixed oscillation indicators suggest the market is in a balanced state. The Relative Strength Index (RSI) is at 66, Stochastic at 77, and the Average Directional Index (ADX) at 33 all signal neutrality. However, the momentum oscillator at 5,747 and the Moving Average Convergence Divergence (MACD) at 4,016 suggest a bullish trend, while the Commodity Channel Index (CCI) at 113 flashes a sell signal, implying overbought conditions. The Awesome Oscillator confirms broader neutral sentiment.
The moving average indicates a strong bullish context. All short-term to long-term exponential moving averages (EMA) and simple moving averages (SMA)—ranging from the 10-period EMA at $107,056 to the 200-period EMA at $89,495—are signaling positive conditions. This alignment suggests that despite short-term corrections, the overall trend remains bullish. The convergence of bullish signals across multiple timeframes affirms investor confidence and positions Bitcoin for further gains if key resistance levels are broken with strong confirmation.
Bull's Commentary
Bitcoin's price action remains supported by strong technical support and consistent buy signals across all major moving averages. If it exceeds $110,000 with volume confirmation, this phase will be set to accelerate further and potentially surpass the $112,000 resistance. The overall trend is bullish, and momentum indicators suggest continued bullishness.
Bear's Commentary
Although the bullish structure is prevailing, caution is still needed. Failure to maintain support above $108,000, especially with increasing selling volume, could lead to a deeper retracement to $106,000 or lower. Mixed oscillation signals and overhead resistance at $112,000 reinforce the risk of exhaustion and reversal in the short term.