Bitcoin

Bitcoin (BTC) Price Still in Downtrend – But Analysts See Signs of a Rally Ahead

10 hours ago
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Bitcoin (BTC) Price Still in Downtrend – But Analysts See Signs of a Rally Ahead

Key highlights:

  • Bitcoin price is hovering around $113,817, testing the $113k-$114.5k support zone after a double-top pattern completion.
  • Analysts say a bounce from $118k-$119k could open the door for BTC to rise to $124k-$126k.
  • A breakdown below $113k risks further downside toward $111.5k and possibly $103k.

Bitcoin price prediction: Can BTC hold $113K support or break lower before the next rally?

Bitcoin price is sitting near $113,817.60, and the market feels split. On one side, BTC charts show a clean breakdown from a double-top. 

On the other hand, some traders argue this is just a big liquidity sweep before the next leg higher. Add in the pressure from global liquidity trending down, and the picture is far from simple.

Bitcoin’s double top and the liquidity harvest narrative

Prominent analyst Merlijn the Trader pointed out a textbook double-top on the 8-hour chart, with peaks around $121k-$122k and a neckline near $118.5k. 

BTC price broke below that neckline, retested it, and failed. Normally, that sets up a measured move to about $115k-$116k.

But Bitcoin didn’t stop there. It slid all the way to $113.3k-$113.6k, which often happens when markets flush out stop losses sitting just below the obvious target. In his tweet, Merlijn called it “liquidity harvested,” saying panic candles often hand risk from retail to institutions.

The RSI backed that story. It showed a bearish divergence on the second peak and trended down during the selloff. Now it’s oversold and starting to curl, which could either mean more weakness or the start of a bounce if the $113k–$114.5k demand zone holds.

Bitcoin key levels in focus: Support and resistance

Right now, the Bitcoin price is sitting in the $113k-$114.5k support range. If that breaks, the next stop could be $111.5k-$112k, with deeper support at $109k-$110k and even $103k if things get really heavy.

On the upside, bulls need to take back $115.5k–$116.5k first, then push through $118k–$119k. That neckline is the real battleground. Clear it, and targets open toward $121k–$126k. 

Traders are also watching candle structure closely: wicks that bounce back above $114.5k support the bounce thesis, while full closes under $113k would tilt things bearish.

Bitcoin price sweep of the lows may create an ideal buy zone

Another analyst, Michaël van de Poppe, marked this exact zone as a spot to start thinking about longs. In his tweet, he wrote that the best setup would actually come from a sweep below the lows, ideally into the $112k–$111.5k zone, followed by a sharp reclaim.

His BTC chart shows the same story: rejection from the new all-time high at $123.3k, lower highs since, and a break below the $116.8k-$119.5k range. 

For him, the path higher starts with a claim of $113k-$114.7k, then a run back toward $116.8k and later $119.5k. If the market doesn’t hold $111.5k, though, the door opens toward $103k.

Global liquidity trends remain a headwind for BTC

Analyst CryptoGoos added another layer to the debate with his chart comparing Bitcoin against the M2 Global Liquidity Index. The liquidity line has been rolling over since the summer and continues to make lower highs under a descending trendline.

That’s a problem for risk assets like Bitcoin. In his view, unless this liquidity gauge stabilizes and breaks its downtrend, rallies into $116.8k-$119.5k could get faded. If liquidity does turn higher, though, it would give Bitcoin price the backdrop it needs to push beyond $123k with strength.

What Comes Next

So where does that leave Bitcoin now? Analysts see three possible paths. A bullish outcome means holding above $113k and reclaiming $118k-$119k, opening a run toward $124k-$126k. 

A neutral case is just more chop between $113k and $116.5k while momentum cools off. The bearish route would be a daily close under $113k, leading to $111.5k, and maybe down to $109k-$103k if selling accelerates.

According to recent Bitcoin price predictions, BTC could rally if the $113k-$114.5k support holds, with analysts forecasting a move toward $124k-$126k in the weeks ahead.

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Source: https://coincodex.com/article/71773/bitcoin-btc-price-still-in-downtrend-but-analysts-see-signs-of-a-rally-ahead/