Bitcoin Maintains Strong Uptrend: Target of $120,000 in Sight Amid Positive Technical Signals
Bitcoin continues to stir the digital financial markets as it maintains its strong upward momentum and is currently trading around $118,000. In the latest trading hours, BTC fluctuated in a narrow range between $117,705 and $118,091, showing temporary stability amid the bullish sentiment spreading across the market.
As of press time, Bitcoin holds an impressive market cap of $2.34 trillion, accompanied by a 24-hour trading volume of $81.33 billion. The intraday price movement showed a wide range from $110,768 to a high of $118,839, demonstrating high liquidity and strong participation from both retail and institutional investors.
Technical Analysis: Bullish Trend Strengthened
On the daily chart, Bitcoin broke through a key resistance level at $112,000, marking a major technical advance. The breakout was accompanied by a surge in trading volume, indicating growing confidence from investors in the bullish trend. Recent candles have shown persistent buying pressure, especially after the price hit a technical bottom at $98,240.
The psychological resistance level at $119,000 is the next target for bulls, with expectations of an extension to $121,500 if the uptrend is sustained. The price range between $112,000 and $114,000 is seen as a good support level for new long positions in case of a slight correction.
4-Hour Chart: Bullish Flag Formation
The 4-hour chart data further reinforces the bullish thesis, as the bullish flag formation is a sign of healthy consolidation ahead of a further breakout. The price has pushed decisively from the $111,000 region to above $118,000, supported by increased volume during the uptrend and declines during the correction.
Attractive entry points could be identified if the price breaks above $118,800 or turns to test the support zone around $115,000 – $116,000. The next resistance lies between $120,000 and $121,500, which acts as a key hurdle for the short-term trend.
1-Hour Chart: Short-Term Correction Warning
From a short-term perspective, the 1-hour chart is flashing a temporary warning signal as the price shows signs of stalling below $118,800. The first bearish candles appearing after the parabolic rise, combined with gradually decreasing volume, reflect the possibility of losing momentum in the short term.
In case of a correction, the $116,000 area is considered a support zone to watch. If the price maintains this level, the bullish momentum may soon recover. Conversely, short-term traders can look for opportunities with scalping strategies below the $118,000 area and set a profit target around $117,000.
Technical Indicators Review: Bullish Signals Dominate
Current oscillators show a neutral but bullish bias:
RSI at 74 indicates mild overbought conditions but not yet at a strong warning level.
Stochastic at 91 and CCI at 291 are both in the high zone, reinforcing the bullish momentum but also implying the risk of a short-term correction.
MACD and Momentum continue to send positive signals, reflecting that money flows are still supporting the uptrend.
Moving Average System: Strong Uptrend
All major moving averages, including EMA and SMAs in the 10- to 200-period timeframes, support the uptrend:
The 10-period EMA is currently at $111,496 and the 10-period SMA is at $110,654, acting as effective short-term support.
Long-term averages such as the EMA and 200-period SMA are at $96,237 and $96,812, respectively, creating a solid price base in case the market pulls back further.
Trend Summary
Bullish Scenario:
Bitcoin remains in a clear uptrend, with strong support signals from the moving average system and momentum indicators. A break above $118,800 would see BTC hit $120,000 and extend to $121,500.
Bearish Scenario:
In the short term, profit-taking pressure around $119,000 combined with overbought signals could lead to a technical correction. If the price fails to hold the $116,000 support zone, a deeper pullback could be on the cards, especially given the rapidly changing market sentiment.
Conclusion
Bitcoin is currently in a clear technical breakout phase, heading towards the $120,000 price zone amid continued inflows into the crypto market. Although some short-term signals suggest temporary exhaustion, the overall trend remains strongly in favor of buyers. With technical and market sentiment supporting the move, BTC is poised to make a new high in the coming days.