Bitcoin retested key support at $106,802 and rebounded strongly, signaling potential for further bullish continuation.
Resistance sits at $110,078, with a projected upside target of $120,000 if momentum holds.
BTC previously surged 49% from $76,000, and a similar move is now being monitored on the current structure.
Bitcoin (BTC) has moved upwards again on May 26, 2025, with prices reaching $109,987 as a result of a 2.2% increase over the last day. According to the market, BTC has managed to break through a major level and maintain its position over a crucial support of $106,802. With the price continuing upwards, the next focus is on resistance at $110,078 which may dictate short-term movement.
This movement follows a period of consolidation, with a prior breakout yielding gains of over 49% from the $76,000 zone. Traders are now watching the bullish structure form as the price aims toward the $120,000 zone in the coming sessions.
Bitcoin Breaks Out of Wedge, Eyes Further Gains After 49% Surge
The chart demonstrates that BTC moved significantly on May 2nd, exceeding the wedge pattern and breaking its downtrend. From mid-January through late April, this formation led to a gradual decline in price. Following the breakout, Bitcoin rose from close to $76,000 to almost $113,000, giving it a 49.47% increase in price. The acceptance of this breakout was confirmed by increased trading volume and strange upward candlesticks, making it secure for future price jumps.
Source: (X)
Following this rally, Bitcoin paused and consolidated slightly below $110,000, which acted as a resistance. The price then retested a newly established support line near $106,802. The strong reaction off that level has helped confirm it as a valid floor. Now, the market is observing renewed buying interest just below resistance, setting the stage for a potential continuation upward.
Key Resistance at $110K in Focus as Bitcoin Eyes $125K Target
Notably, the resistance at $110,078 now becomes a critical level to watch. BTC has tested this zone multiple times during the current move. A sustained break above this level could unlock the next bullish leg toward $120,000. The chart also outlines a projected move of 12.42%, targeting a price level near $125,234.
However, if sellers re-enter at this resistance, short-term consolidation between $106,802 and $110,078 may continue. Traders are closely monitoring this range for further confirmation. A clean move past the resistance would suggest continued strength, while failure to break higher may delay further gains.
Bullish Setup Supported by Successful Retest
A successful retest of the breakout zone lends strength to the bullish setup. Bitcoin rebounded cleanly from its previous structure's top, reinforcing the move. The current structure shows a rising channel with higher lows supporting the ongoing trend.
Volume during the bounce also increased, which strengthens the case for continued momentum. As price action approaches prior highs, volume trends will play a key role in validating the next move. This combination of technical strength and level retests continues to draw attention from short-term and long-term participants.
