Bitcoin Holds $108,400 Zone Amid Golden Cross Bullish Signal

Bitcoin has maintained a crucial retest zone at $108,400, indicating sustained bullish momentum as traders focus on potential targets of $114,000 and a longer-term goal of $180,000. This stability is reinforced by the formation of a Golden Cross on Bitcoin’s daily chart, which historically signals continued upward movement and could push prices beyond $120,000.

Despite a decline in market volume, the price stability combined with neutral funding rates reflects cautious optimism among investors. The recent liquidity sweep below $106,000 was met with decisive buying pressure, underscoring the market’s resilience. Technical analyst Dariusz Kowalczyk highlights this bounce as confirmation of a daily breakout, emphasizing that maintaining this level could pave the way for a move toward $114,000. The presence of a Golden Cross—where the 100-day moving average crosses above the 200-day moving average—adds further credence to the bullish outlook, historically correlating with sustained upward trends in Bitcoin’s price.

The Golden Cross is a widely recognized technical indicator signaling a potential shift from bearish to bullish market conditions. In Bitcoin’s case, this crossover suggests that momentum is favoring buyers, setting the stage for a possible rally beyond immediate resistance levels. Current resistance points at $110,500 and $112,000 are critical thresholds; a decisive breakout above these could validate a surge toward the $120,000 mark. This technical setup aligns with growing market sentiment that anticipates a strong continuation of Bitcoin’s upward trajectory in the medium to long term.

Market data reveals Bitcoin’s market capitalization at approximately $2.15 trillion, while daily trading volume has tapered to $42.76 billion. This results in a volume-to-market cap ratio near 1.99%, reflecting a moderation in speculative trading activity. Despite this decline in volume, Bitcoin’s price stability above $108,000 demonstrates underlying strength. Futures market analysis points to neutral funding rates, indicating that traders are adopting a balanced position without excessive leverage on either side. This equilibrium suggests a prudent market stance, with participants awaiting clearer directional signals before committing to aggressive long positions.

Liquidity clusters concentrated above the $111,000 level represent significant zones where buy and sell orders accumulate, often acting as magnets for price action. Should Bitcoin break through the $110,500 resistance, an increase in open interest could follow, signaling renewed trader engagement and potential volatility. Monitoring these levels is essential for market participants aiming to capitalize on the next wave of price movements. The interplay between liquidity zones and open interest will likely dictate short-term momentum and provide insights into the strength of the ongoing uptrend.

Bitcoin’s ability to hold the $108,400 retest zone amid a Golden Cross formation underscores a technically sound foundation for further gains. While market volume has softened, the stability in price and neutral funding rates reflect a cautious yet optimistic trading environment. Key resistance levels at $110,500 and $112,000 will be critical in confirming the next phase of the rally, with targets of $114,000 and potentially $180,000 in the longer term. Investors and traders should continue to monitor these technical and on-chain indicators closely to navigate upcoming market developments effectively.