Bitcoin Surges 10% to New All-Time High of $118,000

Bitcoin has recently confirmed a breakout of a major bull flag pattern, signaling a potential upward trajectory for the cryptocurrency. This technical setup has been a key driver of the latest rally, which saw Bitcoin surge past $118,000, setting a new all-time high. The bull flag pattern, which formed at around $106,000, provided a clear roadmap for the price movement, with no significant pullbacks or flash crashes observed.

The sentiment in the market has remained neutral, with no major panic or leverage wipeout. This calm environment has allowed for a healthy and sustainable trend to continue, with institutions absorbing liquidity as retail investors sold in panic. The next short-term target for Bitcoin is $122,500, with a mid-term outlook ranging between $120,000 and $130,000. The structure remains clean and bullish, with no signs of overheated markets or unstable funding.

Analysts have identified key resistance levels that, once overcome, could pave the way for Bitcoin to reach the $130,000 range. The first major resistance level at $120,000 was overcome in July, signaling a breakout and setting the stage for further gains. The current price action is forming a bull flag, which is a continuation pattern that typically indicates a strong potential for a breakout. If Bitcoin sustains a move above this level, it could confirm the next bullish wave, targeting the $130,000 range. This bullish wave could potentially extend to $140,000 or even higher, with structural targets identified at $137,000 and $160,000.

The recent surge in Bitcoin's price has further fueled the bullish sentiment, with traders eagerly anticipating the next leg of the bull run. The negative dealer gamma buildup and the IBIT's bull flag breakout are additional factors that have contributed to Bitcoin's upswing, further reinforcing the bullish outlook. The next catalyst for further momentum could be the CPI numbers coming out, with better-than-expected results potentially reinforcing the bullish scenario and pushing Bitcoin closer to the $130,000 mark.

Overall, the combination of psychological clarity, technical confirmation, and a calm macro backdrop paints a strong continuation picture. Traders who stayed focused on structure instead of fear-driven headlines are now seeing the results. The current market structure and technical indicators suggest that Bitcoin is poised for a significant breakout, with potential targets in the $130,000 range. The decisive breakout and sustained move above key resistance levels could trigger a sharp upward rally, potentially reaching $136,000 by December 2025, according to the analyst's forecast.