Bitcoin Bull Flag Formation – Road to $111K?
After a powerful rally that kicked off around April 9th, Bitcoin is now showing signs of consolidation — forming what appears to be a classic bull flag pattern. This kind of structure usually follows a strong impulsive move upward and often signals that the market might be preparing for another leg higher.
📈 Bull Flag in Focus
On the daily timeframe, BTC is developing a bull flag by printing lower highs and lower lows inside a tight descending channel. This pullback is a natural part of a trending market — it's a healthy pause that allows the market to digest gains while maintaining a bullish tone.
Currently, Bitcoin is testing the upper boundary of this flag structure, which also aligns with a previous resistance zone. This level could act as short-term resistance and will likely be a key decision point for the next move.
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⏳ 4H Fair Value Gap (FVG)
Zooming into the 4-hour chart, there's a clear Fair Value Gap (FVG) between the $102,700 and $103,800 levels — created during the last sharp move up. This area now acts as a potential support zone, where demand could re-enter the market. If price retraces into this zone, it may fill the gap and then bounce, triggering the next leg higher within the larger bull trend.
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💧 Liquidity Zone at $111K
A major liquidity cluster is sitting around the $111,000 level, highlighted by a double top on the lower timeframes. According to heatmap data, this region is packed with stop orders and leveraged positions — making it a potential target for market makers aiming to sweep liquidity.
As price approaches this area, a spike or fake breakout becomes increasingly likely before any real direction is confirmed. This kind of liquidity grab is common in volatile markets.
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