Bitcoin is on the verge of a critical resistance level, testing the upper boundary of an expanding wedge formation. This could be a pivot point for significant price changes.

Bitcoin Chart Analysis

The daily chart of Bitcoin shows it moving within an expanding wedge, delineated by two diverging trend lines. Since April, Bitcoin's price has consistently approached $70,000, hitting the upper trend line marked in red. Buyers have been active whenever the price drops to the lower trend line, providing support and keeping Bitcoin within this structure.

Resistance and Support Zones

The descending red trend line serves as a significant resistance level, connecting several highs since early 2024. Currently, Bitcoin is testing this line, and its successful breach could lead to significant price surges. Conversely, the green support line has consistently held during market corrections, indicating buyer confidence at lower price points.

Potential Breakout and Market Sentiment

Analysts highlight the importance of the current formation, noting that a bullish breakout from the wedge could lead to substantial price increases. Bitcoin's price action is under scrutiny, and a successful breakout could lead to rallies targeting previous highs and potentially beyond $70,000.

Within the expanding wedge, Bitcoin may move either upwards or downwards. Investors and traders, awaiting confirmation signals, remain cautious, preparing for any possible scenarios, including potential short-term risks and long-term gains.