Bitcoin Surges 10% Past $117,000 Resistance Level

Bitcoin (BTC) has recently surged past the $117,000 resistance level, marking a significant bullish trend in the market. This breakout occurred after a period of consolidation, where the cryptocurrency had been trading between $105,000 and $115,000, forming a clear falling wedge pattern. This pattern, characterized by parallel declining lines, typically precedes upward movements. The confirmation of this breakout came when the price action surged above the upper trendline with increasing volume, indicating strong bullish sentiment among traders.

The Relative Strength Index (RSI) on the hourly timeframe neared overbought territory, peaking just below 80, but continued trading within bullish ranges. This RSI behavior, combined with the breakout from the falling wedge pattern, suggested a strong price movement supported by a multi-week trendline. Historical comparisons indicate that similar structures have yielded double-digit rallies in past cycles, further bolstering the bullish outlook.

Key Fibonacci levels played a crucial role in this latest breakout structure. The .618 retracement at $113,600 and the .382 level at $117,300 acted as strong areas of interest, representing retracement points from a prior impulse wave that pushed BTC above $120,000 earlier this month. These levels provided a clear range for future moves, with the 0.5 midpoint level at $115,469 also functioning as a pivot during consolidation. Once the breakout occurred, these zones transformed from resistance into support, offering further confidence for market participants anticipating higher highs.

The broader chart also reflected significant institutional positioning and accumulation zones. A long-term upward sloping trendline, dating back to early 2024, intersected close to $80,000, providing macro-level support. Bitcoin’s price trajectory since April has followed a rising arc with periods of consolidation, aligning with prior momentum-based reversals. The RSI oscillator showed strength despite temporary dips, confirming that underlying strength supported the move. This pattern has historically attracted both institutional and retail inflows in past bullish cycles.

Despite the bullish momentum, the sharp retreat from $119,000 signals that bulls are tiring near resistance. However, the cryptocurrency is currently trading just above the critical demand block between $115,500 and $117,000. If bulls hold this zone, a bounce toward $119,000–$120,000 is possible. The RSI of 56 shows that the bullish bias is fading, but the MACD lines are still approaching the neutral zone, suggesting limited buying orders. If the bulls recover control of the market, Bitcoin could surge past its previous highs before testing new resistance levels. In the event of an extended rally, Bitcoin could test the May high of $127,000.

The bullish momentum remains intact, but the RSI is nearing overbought territory, suggesting that the pair may consolidate post-CPI unless there is a significant catalyst for further gains. The technical indicators show that the bullish trend is likely to continue, but traders should be cautious of potential resistance levels and market corrections. The broader crypto market has also seen significant movements, with Bitcoin hitting an all-time high of $123,000 while Ether rallied above $3,000. However, the market is currently in a retracement phase, with selling pressure keeping prices down. Bitcoin is trading below $117,000 while Ether has dropped to the $2,900 region.