Bitcoin’s record-breaking rally faces potential correction as analysts watch key support levels, with $110K emerging as a critical threshold for maintaining bullish momentum.
Bitcoin consolidates near $117,000 after reaching a new all-time high of $121,400, with analysts warning of a potential deeper correction. Crypto analyst TehThomas identifies $109,000-$110,000 as the next major support zone, suggesting the price may retest these levels to “sweep liquidity” before continuing upward. The formation of an ascending trendline through $111,000-$113,000 adds technical significance to this potential pullback.
Despite correction risks, the overall structure remains bullish if Bitcoin holds above $110,000. A shallow correction maintaining the trendline could see BTC resume its uptrend toward $120,000-$125,000 targets. “Bitcoin is in price discovery – the structure must guide our expectations,” TehThomas notes, emphasizing that former resistance levels now serve as critical support.
The analyst advises caution as Bitcoin enters uncharted territory, where new sell pressure could emerge. However, any dip to $110,000 would likely present a buying opportunity, with the potential to fuel a more sustainable breakout toward higher price levels in the coming weeks.
CryptoFeedHub Note: This article is a rewritten summary based on external reporting. Original source: Bitcoinist.