Bitcoin’s current bull run is encountering friction as the leading cryptocurrency struggles to convincingly break above the $120,000 resistance zone. Analysts now suggest a possible price retest down to $111,000 could occur before any further rally.
At press time, Bitcoin is trading slightly above $118,000, marking a 3.6% decline from its most recent all-time high. Market watchers are questioning whether BTC can stage a breakout or if the asset is set for a near-term correction amid this tight consolidation.
Unrealized Price Gap Raises Red Flags
On-chain data from CryptoQuant’s QuickTake has highlighted a critical zone of interest. According to CryptoMe, a contributor and analyst on the platform, there’s a notable trading gap between $111,000 and $115,000.
“Bitcoin surged rapidly from $110K to $123K between July 9 and 14, with minimal trading in the $111K–$117K range,” CryptoMe explained. “This left a gap in the UTxO histogram, which often gets revisited historically.”
Limited retail activity during that run-up was dominated instead by institutional inflows, contributing to the thin volume in that zone. Such gaps have historically acted as magnets, drawing price action back to “fill” them in the future.
Will Bitcoin Revisit $111K Before Moving Higher?
Though BTC recently tested the $115K–$117K levels, the analyst notes the lower end of the gap—around $111K—remains untouched. If historical patterns hold, this area could see renewed price action soon.
“In 2024, BTC bypassed the $70K–$80K zone during a rally to $110K, but it eventually filled that gap,” CryptoMe recalled. “A similar pullback could be on the cards now, even if the long-term trend remains bullish.”
CryptoMe speculates that BTC might revisit $111K either before another push higher or after potentially peaking near $140K. Regardless of timing, the analyst suggests that traders should prepare for a retracement.
“Even in a bullish environment, a pullback toward 111K is still possible. Investors should adjust their positions, leverage, and risk accordingly.”
With uncertainty ahead, market participants are advised to remain vigilant and not overlook the technical signals, despite the strong fundamentals currently supporting Bitcoin’s long-term trajectory.
The post appeared first on CryptosNewss.com