Bitcoin Breakout Imminent, Eyes on $116.5K for Recovery

Key Insights:

• Bitcoin’s bullish wedge pattern holds firm as traders await a potential breakout above $116.5K.
• Reclaiming the $116.5K level could signal a momentum shift toward $118K and renewed upside strength.
• Whale wallets have accumulated 218,000 BTC since March, now controlling over 68% of the total supply.

Bitcoin (BTC) continues to trade in a narrowing range as price action stays within a falling wedge pattern. While traders wait for a breakout, key support and resistance levels remain in focus. 

The leading cryptocurrency is currently trading at $114,717, down 3.31% over the past 24 hours. Despite short-term pressure, long-term signals remain optimistic. Rising institutional accumulation and recent government statements support Bitcoin’s role in national policy.

Bullish Pattern Still in Play Despite Rejection

However, some market participants remain confident that Bitcoin is still within a bullish falling wedge pattern. According to Misterrcrypto, Bitcoin is still trading in this bullish falling wedge pattern. 

According to chart analysis, this type of setup often leads to a breakout. The wedge pattern has yet to be invalidated, despite the recent rejection at resistance.

Many traders believe that as long as the price holds above key support levels, the chance of a breakout remains strong. Volume data from exchanges continues to show active participation near current price zones.

Key Resistance and the $116.5K Level

Technical analysts point to the $116,500 zone as the level to watch. Bitcoin recently faced a price drop after being rejected at resistance. As stated by CryptoVIPsignal, Bitcoin broke down from a triangle pattern and is now retesting the trendline.

That area has now become a decision point for market participants. If bulls manage to reclaim and hold above $116.5k, the move could open the path toward $118,000 and beyond. If not, traders expect extended weakness or further retests of lower levels.

Whale Accumulation Continues

On a report from Santiment shared by ImCryptOpus, wallets holding between 10 and 10,000 BTC have added over 218,000 BTC since late March. This activity has pushed their control to 68.44% of the total Bitcoin supply. The accumulation represents nearly 1% of the total supply, which some interpret as increased institutional positioning.

This behavior suggests growing long-term interest, although it’s unclear whether these wallets plan to hold or distribute at higher prices. Some market observers remain cautious, citing past patterns where large holders influenced short-term volatility.