Bitcoin is hovering around $114,200, facing mounting pressure from both technical and on-chain resistance levels.
Although the leading cryptocurrency is attempting to stabilize after recent volatility, analysts warn that its position remains precarious.
A series of recent observations suggest a make-or-break moment is near. On the one hand, bullish traders highlight a potentially repeating Head and Shoulders (H&S) pattern on both the monthly and weekly charts, signaling a chance for a strong rebound. On the other, technical resistance at $115K and a looming gap in support below $113K are raising concerns about a potential breakdown.
Resistance Walls and Chart Patterns
Crypto Rover, a prominent market analyst, pointed to the H&S pattern as a signal that history may be repeating. According to the charts, Bitcoin is undergoing a “bullish retest” phase, which in the past has preceded strong rallies to new all-time highs. If this setup plays out again, bulls could soon regain momentum.
However, other analysts are more cautious. Michaël van de Poppe stressed that Bitcoin must reclaim $115K to avoid slipping back into a lower trading range. If the price falls below $113K, he warns, it could open the door to fresh lows and stall altcoin recoveries.
On-Chain Data Shows Thin Support
Adding to the tension, on-chain analyst Ali pointed to UTXO data showing weak support between $113K and $108K. With a resistance wall looming at $117K, Bitcoin is effectively boxed in. Unless the bulls can break through quickly, the risk of a deeper pullback increases.
Market Overview
At the time of writing, Bitcoin is trading at $114,210, down 0.55% in the past 24 hours and 3.08% over the past week. Its 1-hour performance remains slightly positive at +0.26%. The 24-hour trading volume has surged to nearly $58 billion, indicating heightened activity ahead of a potential breakout—or breakdown.
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Source: https://coindoo.com/market/is-bitcoin-ready-to-explode-higher-or-collapse-lower/