Bitcoin News Today: Bitcoin Price Consolidates Near $118,400 Awaiting Breakout

Bitcoin's price has been consolidating within a narrowing structure for the past week, currently hovering near $118,400. The price action is pinned between ascending support and a descending trendline, indicating a potential breakout in the near future. The short-term structure is coiled, with bulls attempting to capitalize on the recent recovery from the $116,000 zone.

Bitcoin is currently locked inside a symmetrical triangle pattern on the 4-hour chart, with resistance at $119,000 and support around $116,000. This consolidation follows a vertical move that sent the Bitcoin price soaring from $101,000 earlier this month. The wedge is compressing volatility further, suggesting a decisive move may unfold in the next 24–48 hours.

The daily chart shows the price still hovering near the upper edge of a rising wedge formation that began forming in March. Despite a brief pullback, Bitcoin has held above its EMA 50 and EMA 100, which currently sit near $110,200 and $105,100 respectively. The breakout structure remains intact as long as Bitcoin stays above $114,800.

According to Smart Money Concepts, Bitcoin is trading just below a marked weak high at $119,000. A Break of Structure to the upside earlier in July confirmed bullish intent, but the price has since stalled under this key liquidity area. Until a new Break of Structure occurs, the price remains at risk of consolidation within the current zone.

Renewed demand in the derivatives market and intraday liquidity reclamation are driving the Bitcoin price up today. Open interest has risen to $84.27B, while daily futures volume jumped 54.43% to $69.77B. The long/short ratio for top traders sits at 1.68, showing a clear long-heavy bias.

On-chain liquidity sweeps and derivatives sentiment are favoring the bulls. The Supertrend indicator on the 4-hour timeframe remains bullish above $118,000, and a potential flip above $120,600 could initiate a trend continuation. The 4-hour DMI shows a declining trend, but +DI and -DI remain near convergence, which is typical before trend expansion.

The Bollinger Bands and EMAs show compression, which often precedes strong directional moves. On the daily chart, all four key exponential moving averages (20/50/100/200) are stacked below price, with the 200 EMA near $98,300 offering strong structural support. Bitcoin continues to trade above the Bull Market Support Band on the weekly timeframe, which has now climbed toward the $100,000–$101,800 zone. The Parabolic SAR also sits below price on the daily chart, suggesting that the bullish momentum is still valid despite minor profit-taking.

The Altcoin Season Index reads 51, showing a near-equal rotation between BTC and altcoins, which is a neutral condition that often precedes capital redistributions into leading assets. If Bitcoin breaks above the $119,000 zone with volume support, dominance could once again shift back in its favor.

The short-term outlook hinges on a clean break from the symmetrical triangle. If bulls reclaim the $119,000–$120,600 resistance zone with confirmation, the price could rally toward $122,000 and $124,500 next. On the downside, if Bitcoin fails to sustain above $116,000, a deeper retest of $114,800 or even $112,000 remains likely, especially if volume thins out. Given the tightening wedge, Supertrend support, and rising CMF, Bitcoin appears primed for volatility expansion. Traders should closely monitor price reaction at the $118,800–$119,000 band and volume flow on the breakout attempt.