Bitcoin News Today: Bitcoin Price Consolidates Near $120,200 Awaiting Breakout

Bitcoin's price has been consolidating near $120,200 after a significant multi-week rise from below $95,000. The current price action is forming a symmetrical triangle on the 4-hour chart, indicating a period of compression before a potential volatility breakout. The apex of this triangle is nearing, suggesting that a decisive move is imminent. Key exponential moving averages, including the 20, 50, 100, and 200 EMAs, are stacked below the current price, providing dynamic support and maintaining bullish momentum.

The On-Balance Volume (OBV) has been rising, indicating steady buying pressure throughout the compression phase. A breakout above the $121,800–$122,000 resistance level could trigger the next leg of the upward movement, with volume confirmation being crucial for validation. On the weekly chart, Bitcoin has completed an inverse head and shoulders pattern, targeting levels as high as $135,000–$140,000, provided the breakout above the neckline around $117,000 sustains.

The strength in Bitcoin's price is supported by both technical breakouts and bullish derivatives data. The daily chart confirms a dual breakout from an inverted head and shoulders pattern and a cup and handle formation. The neckline break around $116,000 has flipped into support, fueling bullish continuation toward current levels. Smart Money liquidity zones show multiple levels of support from May to July, especially around $101,000, $108,000, and $112,000, all of which now serve as strong support. The $120,000–$124,000 range is marked as a ‘weak high’ on the SMC model, indicating a region that could be targeted next by liquidity-seeking price action.

Open interest in Bitcoin derivatives has risen, with long positions holding a slight edge. Options open interest and volume have also surged, reinforcing elevated market participation and anticipation of a breakout. The Binance top trader long/short ratio indicates that experienced traders are heavily positioned on the long side. On the 30-minute chart, the Relative Strength Index (RSI) is holding near 59.2, maintaining a bullish bias without overbought conditions. The Moving Average Convergence Divergence (MACD) has crossed into positive territory, with both the histogram and signal lines supporting momentum continuation.

Bitcoin dominance has declined to 61.7%, reflecting increasing altcoin inflows. While this shift may dilute BTC’s dominance percentage, it also suggests broader crypto market risk-on behavior, typically favorable for further Bitcoin upside in the near term. With compression nearing its end inside the symmetrical triangle, Bitcoin price appears ready for a breakout within the next 24 hours. If the price pushes above $122,000 with volume confirmation, BTC price could quickly accelerate toward $125,000 and potentially challenge $128,000. On the downside, immediate support lies at $118,600 (20 EMA), followed by the triangle base near $116,800 and the 50 EMA at $116,809. A breakdown below $116,000 would invalidate the bullish structure and open the door toward $114,000–$110,900. However, given the bullish confluence across daily and weekly patterns, and strong derivatives flow, Bitcoin remains technically primed for a continuation move.