Bitcoin Technical Outlook: Structure Holds Despite 112k Weekend Dip and Geopolitical Tensions
Category: Technical Analysis | Crypto Markets
Market Context
Over the weekend, Bitcoin briefly touched $112,000, marking its lowest point since early July. This minor correction occurred against a backdrop of escalating geopolitical tensions, triggering short-term volatility across risk assets. However, despite the sell-off, the broader bullish trend structure remains intact.
Secular Trend Still Bullish
On the daily chart, Bitcoin continues to exhibit a secular uptrend—characterized by higher highs and higher lows dating back to Q1 2025. This longer-than-six-month trend defines the current macro structure, which has so far withstood both market fatigue and external shocks.
The recent pullback has not breached the technical uptrend line, nor has it invalidated the current pattern forming on the chart: a symmetrical triangle, consolidating just below the local highs.
Key Technical Levels
🔹 Support Zone (Buy Area):
$111,000–$113,000 – This range served as prior resistance in June and is now acting as a platform for potential continuation.
🔹 Sell-Stop / Invalidation Level:
$109,000 – A decisive breakdown below this level would suggest that the July–August consolidation was in fact a temporary top, possibly signaling a trend reversal or deeper correction.
🔹 Resistance & Breakout Trigger:
$118,000 – A clean breakout above this level would likely confirm the triangle as a continuation pattern, opening the way for a short-term measured move toward…
🔹 Upside Target:
$122,000 – Based on the height of the triangle, projected from the breakout point, this target aligns with traditional technical analysis principles.
Strategic Considerations
While the macro environment remains uncertain, the chart setup reflects disciplined, structure-driven behavior from market participants. If the support zone holds and momentum builds above $118k, it would reinforce the longer-term bullish narrative and likely invite further institutional participation.
On the flip side, a breakdown below $109k would alter the risk-reward calculus, especially for trend-followers and risk-managed strategies.
Final Thoughts
This setup is a textbook case of trend continuation vs. pattern failure, with clearly defined invalidation and breakout levels. The current conditions warrant close monitoring, particularly as external geopolitical risks continue to influence market sentiment.
⚠️ Disclaimer
This article is intended solely for informational and educational purposes. It does not constitute investment advice, a financial promotion, or a solicitation to buy or sell any financial instrument. Market participants should conduct their own research and consult with appropriately licensed professionals.