Bitcoin is at a crucial point, and this week’s price action could be huge. A strong close above $107,720 is key for bulls.
A Weekly Close Could Change Everything
A successful weekly close above $107,720 could send Bitcoin soaring towards $130,000-$135,000 by Q3. This price acts as strong resistance; breaking through it would be a major bullish signal. Past performance suggests this is possible; a similar situation in Q4 2024 led to a massive rally.
Chart Patterns and Technical Indicators
Bitcoin’s price is moving within a historical price channel. Breakouts from this channel in the past have triggered significant upward movements. If this pattern repeats, Bitcoin could hit $150,916 by October 2025. The channel’s dips could provide buying opportunities.
Looking at the shorter-term, the 1-hour chart shows a downward trend, but the price is finding support around $106,500. Technical indicators like the RSI and MACD are showing signs of a potential bullish reversal. However, overcoming the $108,500 resistance is crucial for this to happen. Strong volume is needed to confirm a sustained upward trend.
Consolidation and Breakout Potential
On the daily chart, Bitcoin is consolidating within a descending channel – a pattern often seen before a significant price move. The price is currently above the 50-day moving average, a positive sign for bulls. Breaking out of this channel would likely trigger a move towards $120,000.
Some analysts believe Bitcoin has already broken out of a descending channel on the 1-day chart, and the current consolidation above the previous resistance (now support) is a bullish sign, potentially leading to a move towards $135,000. Holding above this support level is key for this scenario to play out.
