Bitcoin’s meteoric rise continues to captivate the crypto market, with the flagship cryptocurrency recently achieving a new all-time high of $111,807. However, as Bitcoin tests critical support levels following its ATH rejection, analysts are closely monitoring key indicators that could signal a temporary top.
Bitcoin Price Analysis: Key Resistance Levels
Crypto analyst Joao Wedson has identified a potential local top for Bitcoin between $113,000 and $114,000, backed by compelling technical evidence. The analysis centers on two critical factors that suggest BTC’s bullish momentum might experience a short-term cooldown:
- A long-term trendline resistance dating back to early 2021
- Historical price action around the $110,000 liquidation level
Technical Indicators Signal Caution
The emergence of a significant trendline resistance level has historically preceded major market corrections. Recent analysis of Bitcoin’s price temperature reaching 2.67 further supports the possibility of a temporary pullback.
Altseason Potential: Market Rotation Ahead?
Perhaps the most intriguing aspect of Wedson’s analysis is the potential for an altcoin season following Bitcoin’s local top. While Bitcoin’s dominance has recently strengthened, historical patterns suggest that capital often rotates into alternative cryptocurrencies after BTC peaks.
Current Market Status
As of the latest data, Bitcoin is trading at $108,500, representing a 2.3% decline over 24 hours. This correction appears linked to broader market concerns, including geopolitical tensions surrounding potential EU tariffs.
FAQ Section
What is the predicted Bitcoin local top?
Analysts project a potential local top between $113,000 and $114,000 based on technical indicators and historical price action.
When might the altseason begin?
Historical patterns suggest altseason could commence after Bitcoin reaches its local top, potentially in the coming months.
What are the key support levels to watch?
Current critical support levels exist at $109,000 and $108,500, with the latter serving as an immediate defensive line.