BTC pushes higher but faces heavy resistance near $117K zone
Bitcoin (BTC) has staged a strong recovery, climbing to the $116,000 level after breaking out of a prolonged downward channel. The move reflects renewed buying momentum, but technical signals suggest bulls are now facing key resistance near $117,000–$118,000.
After weeks of consolidation, Bitcoin decisively broke above its descending channel, a structure that had capped rallies since late July. The breakout was confirmed as BTC reclaimed the $114,000 support zone, which has now flipped from resistance.
At the time of writing, BTC is trading around $116,250, testing the upper supply region highlighted between $117,000 and $118,000. This area previously triggered multiple rejections, making it a critical barrier for further upside.
On the downside, strong support has formed near $112,500–$113,000, followed by the $109,000 demand zone. A sustained break below $112,500 could open the door for a deeper pullback.
“The breakout from the falling channel is technically significant, as it shifts market structure in favor of buyers,” According to BITX market strategists. “But without a clear close above $118,000, the rally risks losing momentum.”
BITX analysts highlighted the importance of volume trends: “Trading activity remains below July highs, which means Bitcoin could struggle to sustain a rally without stronger participation.”
If Bitcoin manages a daily close above $118,000, analysts see potential for a continuation toward the $120,000–$122,000 zone, aligning with previous supply levels. Failure to break higher, however, could trigger profit-taking and a retest of the mid-$113K region.
For now, Bitcoin’s recovery remains intact as long as it holds above $113,000, but traders should watch for volatility around the $117,000–$118,000 resistance cluster.
“A decisive breakout could mark the beginning of a new bullish leg,” BITX expert noted. “But the burden of proof lies with the bulls.”
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.