Bitcoin News Today: Bitcoin Surges 2.6% to $119,600 Amid Volume Concerns

Bitcoin (BTC) experienced a significant surge on Monday morning, reaching over $119,600, marking an increase of around $3,000 for the day. However, the lack of substantial trading volume raises questions about the legitimacy of this breakout. Despite this, there is still potential for the breakout to continue and surpass the previous all-time high, potentially reaching $130,000 or higher.

The future trajectory of Bitcoin remains uncertain. Speculation suggests that given the current state of national budgets and the likelihood of increased central bank printing of fiat currencies, assets like Bitcoin may continue to rise. However, there are no guarantees, and unforeseen events could impact its value.

Robert Kiyosaki, a renowned author and entrepreneur, has warned of an impending "bust" in the Bitcoin market. While he acknowledges that Bitcoin is a good long-term investment, he is not an authority on the cryptocurrency and his warning should be taken with caution.

There are rumors that the UK may sell a significant portion of its Bitcoin holdings. According to reports, the UK Chancellor, Rachel Reeves, is considering selling around $5 billion worth of Bitcoin to address a shortfall in public finances. This move comes despite previous efforts by former Chancellor Rishi Sunak to position the UK as a global hub for crypto, which ultimately led to a restrictive regulatory environment for crypto businesses and citizens.

The 4-hour chart for Bitcoin shows a breakout from a triangle pattern, with the price testing the top of the triangle and the $119,000 support/resistance level. The low breakout volume suggests that this could be a fakeout, with the price potentially falling back inside the triangle. Market manipulation tactics, such as sweeping underneath the triangle and support levels, could be at play, aiming to take out the stops of those going long.

The daily chart reveals high volatility around current levels, but the volume profile shows minimal green bars, indicating a lack of support for the breakout. The RSI indicator is angled back towards the top but needs to surpass the previous high of 78.29 to nullify the bearish divergence threat.

The weekly chart, viewed from a bearish perspective, suggests that Robert Kiyosaki's "bust" prediction might materialize. The $119,000 resistance level is proving challenging for bulls to overcome. The RSI indicator shows a potential third rejection at the trendline if the breakout fails, with a bearish divergence more concerning on this time frame as the price moves up while the RSI trends down. The Stochastic RSI indicators are near the top, raising questions about a potential pivot and downward turn.

These factors pose concerns for Bitcoin bulls, but zooming out to the 2-week and monthly charts reveals a return to bullishness. This suggests the possibility of a short-term pullback followed by a continuation of the bull run. However, only time will tell the outcome of this situation.