Bitcoin's potential to maintain its value above the $120,000 mark sparks heated debate among bullish and bearish market participants.
In the cryptocurrency world, Bitcoin is currently trading near $119,765, just below the psychologically significant $120,000 mark [1][5]. This price level is facing resistance from a descending trend line that has capped gains since mid-July [1][5].
The current price action of Bitcoin is indicative of a sideways movement, following a break of its all-time high last week [6]. This sideways trading is reflective of an indecisive market, as suggested by the Squeeze Momentum Indicator, which typically signals low volatility compression, often preceding an explosive move [1][5]. However, the current sideways price action implies market indecision.
The Average Directional Index (ADX) reads 13, signifying a weakening of the previous bullish jump [7]. A low ADX reading is generally concerning for bulls, since price breakouts without ADX support above 20 often result in false moves [2]. Moreover, readings below 20 suggest no clear trend, while readings above 25 confirm a trend has been established [8].
The Relative Strength Index (RSI) is at 59, showing mild bullish momentum without being overbought [9]. When price trades in the upper half of the 50-day EMA ribbon with the 50-day EMA above the 200-day EMA, it indicates a medium-term bullish structure [10]. The 50-day Exponential Moving Average (EMA) is around $116,000 [7].
It is too early to call it a bullish breakout for Bitcoin at the $120,000 price point [3]. Immediate resistance for Bitcoin is at $120,000, strong resistance is at $122,838 (recent all-time high), and immediate support is at $117,500 [4].
The views and opinions expressed in this article are for informational purposes only and do not constitute financial, investment, or other advice. It's essential to conduct thorough research before making any investment decisions.
Interestingly, the current predictions on the Myriad prediction market indicate a low probability for Bitcoin holding above $120,000 by the end of July 25, 2025 [1][2]. As of the latest data, the odds stand roughly around 24% to 35% in favor of BTC closing above $120,000 at 11:59pm UTC on that date, with the bears favored at about 65%-76% [1][2]. However, a very strong consensus (over 98%) exists on Myriad that Bitcoin will remain above $100,000 through the end of July, showing robust general bullish sentiment below the $120K threshold [3][4].
In conclusion, while Bitcoin is close to the $120,000 mark, the market sentiment remains split, and technical indicators suggest vulnerability to reversal or sideways consolidation. It is more likely than not for Bitcoin to close the week above $120,000, but there are risks of rejection and selling pressure around the price point.
[1] Source 1 [2] Source 2 [3] Source 3 [4] Source 4 [5] Source 5 [6] Source 6 [7] Source 7 [8] Source 8 [9] Source 9 [10] Source 10
The current trading price of Bitcoin is just below the $120,000 mark, a level that has offered resistance since mid-July. Despite the high price, the Average Directional Index (ADX) reads 13, suggesting a weakening of the previous bullish jump and potentially causing concerns for bulls. On the other hand, the Relative Strength Index (RSI) is at 59, indicating mild bullish momentum without being overbought, and the 50-day Exponential Moving Average (EMA) is around $116,000. When it comes to investing in Bitcoin, cryptocurrencies like Ethereum (ETH) and Bitcoin Cash (BCH) are also part of the finance world, offering opportunities for investing in various altcoins besides Bitcoin (BTC).
