Key Insights:
- Bitcoin price confirms retest of breakout zone and now eyes $120K target.
- Stochastic RSI flips bullish on 2-week chart, supporting momentum buildup.
- Analysts say a breakout above $110K may trigger a fast move toward the $155K level.
Bitcoin price is showing strong signs of recovery as it reclaims the zone it broke out of recently. Currently trading around $109,600, BTC price has reclaimed its upward momentum, with analysts forecasting potential targets of $120K and beyond.
Bitcoin Price Retest Completes as $120K Target Re-Emerges
According to World of Chart, Bitcoin price recently confirmed a bullish retest of its previous breakout zone. After falling briefly below the neckline of a prior consolidation, BTC price rebounded and reclaimed that level with strength.
The analyst points out that this move in prices has a similar pattern to those that saw the crypto surge in the past.
The chart showed that BTC price has almost completely tested the price area where it broke above last time. Following this structure, World of Charts projected that Bitcoin price could rally up to $120,000 in the coming weeks if momentum persists.
Furthermore, BitBull emphasized the importance of follow-through. According to his chart, the top cryptocurrency moved out of its consolidation and is now encountering resistance at the top of that range. In case the buying pressure keeps building, the next key level to watch is $155,000.
The consolidation breakout structure appears intact. The price has moved along trendlines and horizontal marks as it re-visits them. Since mid-April, BTC price has gone back to an upward path, recording higher lows. This structural integrity strengthens the bullish argument.
Bullish Momentum Builds as Technical Indicators Align
Momentum indicators have begun supporting the ongoing rally. As the chart from Man of Bitcoin demonstrates, the Stochastic RSI is now greater than the key 20. The development often means the market is changing direction and begins a trend lasting many months.
Bitcoin price also closed a green candle on the 2-week chart, strengthening the bullish trend. The slight correction didn’t alter the trend, since it helped fix overbought conditions. BTC maintaining a price level higher than its 50-day and 200-day moving averages continues to confirm its strength.
The MACD on the daily chart is also starting to go up again. The green histogram bars are flipping around and the MACD line is above the signal line. It makes it clear that there is a move toward bullish momentum once again.
Key Levels to Watch Ahead of the $120K and $155K
Bitcoin price now faces a near-term challenge around the $110,000 resistance. A successful breakout above $106,000 could lead to a quick increase to $120,000. Some believed that this region is the biggest remaining challenge before a final push toward higher levels.
If bulls push BTC price above $120K, BitBull’s chart outlines $155,000 as the next target. The price has reached a popular Fibonacci extension and is located where major increases have happened in the past. Nonetheless, the gradual fall in liquidity in altcoin markets makes it important to keep positive momentum.
Corrections may still happen on Bitcoin soon. Even though the Stochastic RSI has changed to bullish on the two-week EMA, it may still pull back briefly before the next higher spike. Nevertheless, any decrease that stays above $104K is expected to meet strong buying interest.
Market Sentiment Shifts as Bullish Confidence Returns
Now that BTC is above $109,000, investors are turning more optimistic. High risk appetite is indicated by the Fear & Greed Index, which currently shows “Greed.” The influence of Bitcoin over the social market was stronger this week, as people exchanged their altcoins for BTC in expectation of further price rises.
According to on-chain wallet data, those holding over 1,000 BTC are gradually increasing their holdings. Such whales are most active during periods of consolidation, loading up on coins and then spreading them out to see their value increase. Their continued interest reinforces the ongoing bullish setup.
Meanwhile, Bitcoin price traded at $109,600, up 4% over the past 24 hours. If the trend continues, the bullish side may once again control the overall trend. The upcoming session will determine whether BTC price can change resistance to support and meet its outlined goals of reaching $120K and $155K.