Bitcoin Technical Analysis: Resistance at $108K Could Define the Next Chapter of the Trump-Infused Rally

Bitcoin Consolidates Near $103K: Resistance at $108K Looms Large

Bitcoin’s price has entered a consolidation phase following its recent rally, which saw it briefly touch $108,000. With a current price range between $103,737 and $104,266, the market reflects cautious optimism ahead of Donald Trump’s inauguration.

Key Technical Levels to Watch

Daily Chart Overview

• Trend: Bitcoin remains in a clear uptrend, with higher highs and higher lows defining its trajectory.
• Support: The asset has found support around $103,000 and a critical zone near $98,000.
• Resistance: $108,000 represents a significant barrier; a break above could trigger accelerated gains.
• Volume Analysis: Strong buying during upward moves and reduced selling during corrections indicate sustained demand.

4-Hour Chart Insights

• Consolidation Zone: After reaching $105,932, bitcoin has entered a consolidation phase, with support at $102,000 and resistance near $106,000.
• Accumulation: Elevated purchasing activity from Jan. 14–16 signals ongoing accumulation, potentially setting the stage for a breakout.

1-Hour Chart Snapshot

• Short-Term Momentum: Bitcoin’s momentum has moderated slightly, with consolidation near $103,000.
• Intraday Target: Traders may focus on $105,000 as a near-term profit-taking level, provided key supports hold.

Technical Indicators

• Relative Strength Index (RSI): Neutral at 64, indicating balanced momentum.
• Stochastic %K: At 85, reflecting moderate overbought conditions.
• Momentum Indicator: Positive at 8,761, supporting the bullish bias.
• Moving Averages: The alignment of short- and long-term SMAs/EMAs favors sustained upward momentum.

Bull and Bear Verdicts

Bull Case:
Bitcoin’s current structure supports further gains, with key levels at $102,000 and $98,000 acting as solid support. A break above $108,000 could unlock substantial upside, fueled by favorable technical indicators and heightened market interest.

Bear Case:
Caution is warranted near $108,000, as short-term momentum shows signs of cooling. A breakdown below $103,000 or $102,000 could lead to a deeper correction, particularly with increased market volatility expected around Trump’s inauguration.

Outlook:
Bitcoin’s near-term fate hinges on its ability to overcome $108,000 resistance or hold critical supports near $102,000. As the market gears up for a pivotal week, disciplined trading and risk management are essential.