Bitcoin is on the rise again, and traders are focusing on new targets and resistance levels. The bullish momentum remains strong at the start of Wall Street trading sessions, aiming for levels above $117,000.
Bullish Market Sentiments
Liquidity in the order book indicates that short positions are being liquidated as fresh liquidity accumulates at higher price points. This dynamic suggests increasing bullish control in the market.
Technical Indicators and Price Levels
Bitcoin’s price action closely aligns with key levels of the Bollinger Bands volatility indicator. Notably, the market experienced a 'head fake' where price initially dipped below the lower band but then reversed back. This behavior was highlighted by John Bollinger, the indicator’s creator, who cautioned analysts about this deceptive move. On hourly charts, Bitcoin met resistance at the upper band, while on daily charts, the fake breakdown was evident.
Traders' Perspectives and Expectations
Popular crypto analyst Rekt Capital pinpointed $117,200 as a critical level for Bitcoin, suggesting a potential reversal forming an ascending triangle. Data from Cointelegraph Markets Pro and TradingView indicate BTC/USD approaching $117,000, attracting considerable attention from market participants. Trader CrypNuevo observed that liquidity beyond $116,800 on exchange order books has been absorbed, suggesting an upcoming move toward $119,000. Resistance is developing between $117,500 and $118,000, while support bids extend just below $114,000, covering a filled gap in CME Group’s Bitcoin futures.
The recent price action reflects healthy market dynamics with liquidations clearing weak positions and new liquidity enhancing upward pressure. Traders are advised to consider these technical indicators alongside market structure for informed decision-making.
