Eseandre Mordi
IREN is approaching a pivotal technical moment after closing just below $40, with price compressing between a well-defined demand zone and a descending trendline. According to Fibby., the structure now hinges on whether bulls can trigger a breakout and confirm a shift from consolidation into expansion.
Buyers Defend the $33 IREN Demand Zone
The most important level on the chart is the demand zone around $33.
This area has acted as a floor during the recent pullback, with buyers stepping in to prevent deeper downside. The latest move confirms that support is still intact - but only barely.
Holding this zone is critical. A close below $33 would break the structure and invalidate the current bullish setup.
Price remains pinned beneath resistance, which means bulls are defending rather than advancing. The setup is still alive - but it needs a catalyst to shift momentum.
The Diagonal That Decides IREN's Next Direction
The defining feature of the current structure is the descending resistance line pressing down on price near the $40 region. This creates a compression pattern where lower highs continue to form against stable support - a market in balance, but not for long.
A confirmed breakout above this diagonal, followed by a successful retest, would mark a transition from defense to offense. Until that happens, price remains trapped in a tightening range. Similar compression patterns in IREN have historically preceded strong directional moves, especially when price holds support while volatility contracts.
Fibonacci Targets Frame IREN's Upside Potential
If bulls reclaim control and complete the breakout sequence, the chart outlines two key upside projections:
- Around $70
- Around $111
These levels come from Fibonacci extensions applied to the prior impulse, aligning with the continuation scenario outlined in the original setup. However, these targets only remain valid as long as the demand zone holds. Losing $33 would shift focus away from upside projections and back toward structural risk.
A Setup Waiting for Resolution
IREN is no longer trending - it is coiling.
Price is compressed between support and resistance, with neither side in full control.
Price is compressed between support and resistance, with neither side in control. The outcome depends on a single condition: whether bulls can break and reclaim the diagonal resistance. A successful move above $40 would open the door toward the Fibonacci extension targets mapped out in the broader rally setup. Until then, the market remains in a holding pattern - with pressure building just beneath the key level.
Eseandre Mordi
