Bitcoin is trading between $105,030 and $106,935, showing a tightening price range and reduced volatility.
A wedge pattern is forming on the daily chart, indicating potential for a breakout after multiple resistance tests.
Despite a 1.4% price increase, Bitcoin remains range-bound, suggesting market indecision ahead of a key move.
Bitcoin is trading in a fading consolidation range currently and is giving indications of short-term stability but faced with tight technical resistance. The asset is trading at $106,745, which is up by 1.4% over the last 24 hours. Although this is a small movement, the trend unfolding on the daily chart suggests volatility with a clear ceiling and floor.
With the resistance cap set at $106,935 and the support level resting at $105,030, Bitcoin's action now seems to be readying itself for a directional breakout. Price action is still within a falling channel, which presents a potential point of inflection.
Price Range Continues to Tighten Around Key Levels
Bitcoin has been oscillating between $105,030 and $106,935 throughout the last 24 hours. This $1,900 trading band reflects a tightening market structure. The price has continued to receive support around the level of K105K despite the intraday volatility. This degree has withstood numerous sessions and has acted as a buffer to the higher downward trend. Resistance at $106,935 has equally been tested without confirmation of a breakout, indicating hesitation near local highs.
Source: (X)
The daily chart reveals a wedge formation with lower highs and relatively equal lows. The pattern has limited upside pressure and has not resulted in breakdown. The trend of price movements has been virtually horizontal, as price advances have been rejected at the downward sloping trendline. However, the rising number of attempts to breach resistance suggests that market participants are testing this level for potential continuation.
Chart Structure Suggests Momentum is Building
Visual analysis from the TradingView chart shows a sloping resistance line intersecting repeated tops, limiting upside progress. Meanwhile, lows have remained concentrated just above $105,000. This formation continues to compress the price action, pointing to decreased volatility ahead of a directional shift. The current structure does not reflect erratic behavior, rather it suggests a coiling move often seen before expansion.
As the range narrows, the price remains well-supported by recent higher lows, although not yet confirming bullish continuation. Notably, recent candles have closed near the range midpoint, further reinforcing neutral sentiment in the short term. However, the positioning near the resistance top may attract technical traders looking for confirmation above $107K.
Short-Term Bias Remains Range-Bound Ahead of Clear Break
Current market behavior emphasizes a temporary balance between demand and supply. Despite minor bullish pressure leading to a 1.4% price rise, the structure still holds within the channel. Bitcoin has not shown momentum strong enough to push above the $106,935 resistance line. Meanwhile, buyers have repeatedly absorbed dips around $105,030.
This consistent defense of support indicates buyers remain present, yet cautious. Until the price breaches either extreme of the range, the market will likely continue to trade sideways. This ongoing containment in a declining range signals a buildup phase. Observers are closely watching for signs of increased volume and breakout confirmation near the resistance zone.
