Bitcoin Surges 2% to $118,023 as Breakout-Retest Pattern Holds

Analyst Rekt Capital has identified a recurring pattern that is driving Bitcoin’s bull run. This pattern, known as the "breakout-retest" cycle, involves Bitcoin breaking through a major resistance level, consolidating, and then retesting that level as support before continuing its upward trend. This cycle has been consistent throughout the current bull run, suggesting that Bitcoin’s price could continue to rise.

The current price action of Bitcoin fits this historical pattern perfectly. As of early July 2025, Bitcoin has broken past the $116,000 mark and is holding steady around $118,023. This places BTC firmly above a previous consolidation range between $90,000 and $118,000. An earlier structure from July 5 shows Bitcoin consolidating around $108,017 after breaking out from the range between $85,000 and $108,000. The current price stability above these former resistance levels suggests that the asset is simply undergoing another post-breakout consolidation phase, similar to past cycles.

This pattern has been particularly evident following the Bitcoin halving event in April 2024, which has historically kicked off a bullish shift in market momentum. The pattern is visually marked with circles across the timeline on Rekt Capital’s chart, showing a clear consistency in Bitcoin’s price behavior after each major breakout. As long as this historical “breakout-retest” pattern remains intact, the analysis points to a continuation of the price discovery phase, with technical chart formations like the “golden cross” suggesting a possible next target beyond $120,000.

The surge in institutional investment in Bitcoin is another factor contributing to its price rally. This influx of capital from large investors signals strong demand, which could sustain Bitcoin's price increase. If institutional investors continue to support the market, the rally could persist, according to analysts. The broader market rally is also evident in other cryptocurrencies, such as Ethereum, which has seen a significant increase over the past day. This indicates that the market sentiment is positive, and investors are optimistic about the future of cryptocurrencies.

However, it is important to note that the cryptocurrency market is highly volatile, and prices can fluctuate rapidly. The differing opinions among analysts and the volatility of the cryptocurrency market highlight the need for caution and careful analysis. While the "breakout-retest" pattern provides a simple explanation for Bitcoin's bull run, the market's unpredictability means that investors should approach with prudence.