Bitcoin (BTC) is trading in a narrow range from $115,000 to $120,000, showing intense tug-of-war between bulls and bears. The inability to break through the $120,000 resistance level has caused part of the short-term capital to exit ETF funds, with a total net withdrawal of over $285 million in just 3 days (according to Farside Investors). This reflects investors' short-term caution.
However, the positive point is that bulls are firmly defending the $115,000 support zone, and the price has not penetrated the 20-day EMA, indicating that selling pressure is still under control. If BTC continues to hold this support zone and decisively breaks above $120,000, the next upward movement could potentially drive the price towards $135,000, as widely predicted by analysts.
Conversely, if $115,000 is breached, the risk of declining to the next strong support zone at $108,000 will increase, with the 50-day SMA playing a medium-term support role. What important levels should be monitored in the coming period? Let's analyze the chart to understand.
Bitcoin (BTC) Price Prediction
Bitcoin is being squeezed between the 20-day simple moving average ($115,961) and the resistance above $120,000.
The BTC/USDT pair is maintaining a positive structure as the 20-day SMA continues to slope upward, and the RSI index remains in a positive zone. This suggests that the path of least resistance still leans towards price appreciation. If buyers can push the price past the strong resistance zone from $120,000 to $123,218, BTC/USDT could continue its upward trend towards the target of $135,729, and potentially even the psychologically important $150,000 level in the medium term.
However, bulls still need to be cautious. The first sign of weakness will appear if the price closes below the 20-day SMA. This could signal that profit-taking pressure is prevailing, and the short-term upward trend might stall. In a more negative scenario, if BTC drops below $110,530, equivalent to the right shoulder of an inverted head-and-shoulders pattern, the advantage will shift to the bears. At that point, the price could move towards a deeper support zone at $105,000 or lower if selling pressure spreads.
On the 4-hour timeframe, both SMAs have flattened and the RSI is oscillating near 50, indicating that the market is in a balanced state between supply and demand. This is a sign of an accumulation phase, typically occurring before a significant next movement.
Notably, BTC is consolidating just below the historical high of $123,218, suggesting that buyers are maintaining their positions instead of taking profits, reflecting expectations of a subsequent price increase. If buyers can break and close a 4-hour candle above $123,218, it would be a confirmation signal of continued upward momentum, with subsequent targets at $135,729 and $150,000.
Conversely, if BTC drops below the critical support level of $115,500, selling pressure could intensify as short-term investors panic and exit. At that point, the BTC/USDT pair could retreat to the strong support zone at $110,530, where new buying interest is expected to emerge.
The information in this article does not contain investment advice or recommendations. All investments and trades carry risks, and readers should conduct their own research when making decisions.
