Bitcoin consolidates just below the $106.8K resistance zone, showing signs of indecision.
A breakout above $106.8K could confirm bullish continuation; support lies near $104.2K.
A drop below $103.4K may signal a deeper correction toward sub-$100K levels.
Bitcoin is currently hovering below a critical supply zone, with market participants closely watching for signs of a breakout or breakdown. Following a recent structure shift and retest pattern, BTC now trades near $105,404—marking a 0.1% increase in the past 24 hours. The market remains tightly compressed between key support and resistance levels, raising questions about where the next decisive move will occur.
Consolidation Persists Near $106.8K Resistance
Price action shows Bitcoin consolidating just under the $106,807 resistance level, a zone identified as a key area of supply. After executing a change of character (CHoCH), followed by a break of structure (BOS) and a subsequent retest, BTC appears to be pausing at equilibrium. Market structure is moving slightly higher, but so far, there is little real uplift, so the outlook for the following days remains shaky.
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Analysts who use technical strategies say breaking out over the supply zone could lead to renewed bullish activity. So far, $106.8K is still holding up the rate and any pushback from this area might lead to new dips.
Support Levels to Watch in Case of Pullback
On the downside, the immediate support zone sits around $104,982, with a more critical level at $103,400. A sustained break below the latter could invalidate the recent bullish structure and open the door for a deeper correction. Should such a move occur, analysts warn that Bitcoin could revisit the demand zone near $102,400—potentially slipping below the $100K psychological threshold for the first time in this trend cycle.
Market observers emphasize the importance of the $104.2K level for maintaining short-term bullish sentiment. Holding above this point may reinforce confidence among traders anticipating continuation toward higher resistance zones.
Structure Patterns Signal Indecision
The recent sequence—CHoCH, BOS, and retest—suggests an attempt by bulls to reclaim control, but the lack of volume breakout above resistance points to a broader indecision. The market is now trading near equilibrium, where neither buyers nor sellers currently dominate. This lack of directional conviction adds to the need for caution among short-term traders.
While Bitcoin remains inside its present range, volatility in prices is likely to continue. In this phase, analysts suggest being careful not to take big risks, as staying patient and confirming the signals help manage risks.
Market Outlook Hinges on Breakout Confirmation
In summary, Bitcoin remains at a technical crossroads. A confirmed push above $106.8K may accelerate buying interest, while a fall below $103.4K could usher in deeper losses. For now, the asset remains range-bound, with traders watching closely for a resolution in either direction. The next major move could define the tone for Bitcoin’s near-term trajectory.
