Peter Smith
Bitcoin is currently at a crucial juncture as it battles with a significant resistance level that has proven difficult to overcome. After several attempts to push higher, the cryptocurrency finds itself in a precarious position where the next move could determine its short-term direction. Market participants are closely watching key technical levels that could either trigger a breakout or lead to another leg down.
BTC Price Faces Resistance at $110,700
Bitcoin is stuck in a downward-sloping channel, and its recent push higher has hit a wall at the top. The price reached $110,700, which lines up with an important Fibonacci level, but we're seeing repeated rejections at this spot - a clear sign that sellers are stepping in.
Trader @ali_charts highlighted these rejections, noting that Bitcoin's failure to break above $110,700 makes another drop more likely. He stressed that BTC needs to convincingly break through this level to avoid falling back down the channel.
Resistance: $110,700 (0.786 Fib)
Support 1: $109,000 (near-term)
Support 2: $107,200 (channel base & 1.0 Fib)
Upside targets if broken: $113,500 (0.618 Fib), $115,562 (0.5 Fib), $117,600 (0.382 Fib)
With Bitcoin trading around $110,300, what happens next depends on whether buyers can finally push through this resistance or if sellers take control again.
BTC Outlook: Risk of Pullback vs. Breakout
The bigger picture still looks bearish - Bitcoin has been making lower highs and lower lows since mid-August. As long as it stays trapped in this channel, the sellers are in charge. A solid break above $110,700 could change the game and open up a run toward $113,500-$115,600, but continued failures here would likely send BTC back to $107,200.
Bitcoin (BTC) is testing a decisive resistance at $110,700. If bulls cannot reclaim this level soon, the risk of a correction toward $107,200 grows.
Peter Smith
