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Bitcoin Price Analysis: is BTC About to Challenge $120K Next?

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Bitcoin remains in a consolidation phase just below the $111K level, showing signs of exhaustion in its upward momentum.

The market is currently in a state of anticipation, waiting for fresh demand or supply to define the next major move. Despite the pause, the broader outlook continues to favour a bullish continuation.

Technical Analysis

The Daily Chart

Bitcoin is currently navigating through a consolidation phase beneath its recently established all-time high of $111K, indicating a slowdown in bullish momentum following the breakout above the former ATH at $109K.

The market is showing signs of indecision, awaiting a fresh wave of demand to reignite the uptrend.

Despite the modest pullback to the $109K region, now acting as support, the lack of strong buying activity suggests that the bulls are cautious.

For BTC’s price to resume its upward trajectory and reach the critical psychological level of $120K, increased participation from buyers is essential. Conversely, if the price fails to hold above the $109K breakout level, it may trigger a more significant correction, potentially targeting the $100K support zone.

btc_price_chart_2705251
Source: TradingView

The 4-Hour Chart

Zooming into the 4-hour timeframe, Bitcoin continues to respect an ascending channel structure, consistently forming higher lows and higher highs.

Following its rejection from the $111K resistance zone, the price retreated to the lower boundary of the channel near $106K, where it found temporary support and rebounded slightly.

The market currently reflects a state of balance between bulls and bears, suggesting that further consolidation may occur in the short term.

A breakdown below the channel support could open the door for a sharper decline toward the $100K range. However, as long as the structure remains intact, BTC is more likely to oscillate between the lower trendline and the $111K resistance, building pressure for an eventual decisive breakout that will define the next major move.

btc_price_chart_2705252
Source: TradingView

On-chain Analysis

Despite reaching a new all-time high at $111K, a wave of profit-taking is typically expected. Particularly if long-term holders start to sell, it could trigger a significant correction. To evaluate whether this cohort is distributing, the Exchange Inflow Coin Days Destroyed (CDD) metric serves as a key indicator.

Historically, each major peak in Bitcoin’s price during previous bullish cycles has been accompanied by sharp spikes in this metric, reflecting the movement of long-dormant coins to exchanges, often signaling that long-term holders are offloading their assets.

However, this current rally paints a different picture. Despite the price climbing to a new high, the Exchange Inflow CDD has remained subdued. This lack of activity from seasoned holders suggests that they are not yet participating in profit-taking and instead continue to hold their coins with conviction. This behavior underscores strong confidence in the continuation of the uptrend, with expectations for even higher price targets in this cycle.

As long as this group remains inactive and does not exert significant sell pressure, the path remains open for Bitcoin to push toward new highs in the mid-term.

btc_exchange_inflow_2705251
Source: CryptoQuant
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Disclaimer: Information found on CryptoPotato is those of writers quoted. It does not represent the opinions of CryptoPotato on whether to buy, sell, or hold any investments. You are advised to conduct your own research before making any investment decisions. Use provided information at your own risk. See Disclaimer for more information.

Cryptocurrency charts by TradingView.

Cryptocurrency

DOGE Breakout Confirmed? New Bullish Signal Emerges

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TL;DR

  • Dogecoin retests a descending trendline, confirms the breakout, and stabilizes above the $0.24 level.
  • Hidden and regular bullish divergences emerge, strengthening Dogecoin’s short-term upward price setup.
  • Active addresses decline, but price holds firm, signaling accumulation by larger and less active holders.

Dogecoin Retests Trendline and Holds Above Key Level

Dogecoin (DOGE) is showing a firm structure on the daily chart after retesting a descending trendline. The level, which previously acted as resistance, is now holding as support. The price bounced near $0.23 and has remained above that level through the latest sessions.

Meanwhile, this trendline has shifted from a ceiling to a floor, confirming the breakout. DOGE’s price stood at $0.242 at press time, marking a 2.5% gain in the past 24 hours. After pulling back from $0.27, DOGE is showing signs of holding its ground rather than slipping into a deeper retrace.

According to crypto analyst Trader Tardigrade, the daily RSI has confirmed a hidden bullish divergence. This pattern forms when the price makes a higher low while the RSI makes a lower low. It often indicates that the broader uptrend remains in place, despite weaker momentum.

There is no sign of bearish divergence. RSI has also exited the overbought zone, giving DOGE space to move higher without resistance from stretched momentum. These signals suggest the current pullback may have been temporary.

Dual Divergences Appear on 4-Hour Chart

On the 4-hour chart, Dogecoin formed two bullish divergence patterns between July 24 and 26. The first was a hidden bullish divergence, followed by a regular bullish divergence. These were observed in the same price zone, adding to the case for a trend shift.

DOGE price chart
Source: X

Price has moved higher since then. Buyers have stepped in near short-term lows, and the move above $0.24 confirms follow-through. The $0.22 level remains the main support in this setup.

Fewer Active Addresses, But Price Holds

Glassnode data shows Dogecoin’s number of active addresses has dropped to 58,688 as of July 27, down from over 100,000 in mid-July. Despite the lower activity, DOGE price remains steady above $0.24.

glassnode-studio_doge-number-of-active-addresses
Source: Glassnode

This suggests that fewer users are transacting, but larger holders may be stepping in. Crypto analyst Ali Martinez noted that DOGE is back in a zone that has triggered rallies before. A break above $0.25 could clear the way toward $0.36, where past moves have accelerated.

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Bitcoin Eyes $130K: Breakout, Trade Deal, and M2 Growth Signal Next Leg Up

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Bitcoin (BTC) may be gearing up for its next parabolic move, possibly toward $130,000, if an analyst is correctly reading a multi-pronged surge in technical, macroeconomic, and geopolitical signals.

According to pseudonymous trader Doctor Profit, after months of struggling beneath a critical long-term resistance, the flagship cryptocurrency has finally broken above a trendline dating back to the 2021 all-time high, confirming a bullish breakout that he argues the market has yet to fully price in.

Bullish Breakout and Trade Deal Fuel Market Optimism

In a detailed X post on July 28, Doctor Profit highlighted Bitcoin’s decisive monthly breakout above its multi-year diagonal resistance. The said level rejected bulls four months in a row, between November 2024 and February 2025. July’s clean break and retest on the monthly chart signal the beginning of what he calls “the next leg up,” setting the stage for an advance toward $130,000.

Adding fuel to the rally is the recent trade deal between the United States and the European Union announced by President Donald Trump and EU Commission President Ursula von der Leyen on July 27. The agreement includes $750 billion in U.S. energy exports and $600 billion in EU investments into U.S. infrastructure, measures expected to lift U.S. stock markets and, by extension, crypto assets like BTC.

“This is very bullish for the mid and long term as there is no longer fear due to a tariff war between countries, especially and most importantly between the US and Europe.”

The announcement had an immediate impact, with Bitcoin rising from $114,500 to over $119,000, while BNB soared to a new all-time high above $850.

Doctor Profit also noted the quietly increasing M2 money supply, reinforcing the sense of macro bullishness. According to him, despite the Federal Reserve’s ongoing “quantitative tightening,” M2 has expanded by 2.3% year-to-date, with May and June seeing the most aggressive monthly increase at +0.63%.

Historically, every 1% increase in M2 has roughly corresponded to a 30% to 35% rise in BTC. The analyst suggested that if the correlation holds, Bitcoin could rally another 15% to17.5%, which would land it squarely in the $130,000 zone.

Price Analysis and Broader Market Trends

At the time of this writing, BTC was trading at $119,389, marking a modest 0.9% gain in the last 24 hours and 0.7% over the week. The asset’s performance is more solid across longer time frames, gaining 11.3% in 30 days and 75.6% across the past year. However, its short-term moves lag behind Ethereum (ETH) and select altcoins.

Nevertheless, the OG crypto’s fundamental drivers remain intact. ETF inflows continue to absorb more BTC than is being mined, particularly from issuers like BlackRock, acting as long-term vacuum cleaners. And with the Federal Reserve’s next FOMC decision due this Wednesday, where a rate hold is almost certain, Doctor Profit believes the stage is set for continued liquidity expansion.

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AVAX on Fire: Traders Target $140 as Avalanche DeFi Heats Up

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TL;DR

  • Avalanche DeFi TVL rose to $1.5 billion, driven by faster speeds and lower fees following the upgrade.
  • Daily AVAX activity surged, with 519K users and 10M transactions recorded across chains.
  • AVAX is testing a multi-year trendline, with a potential breakout targeting $140 next.

DeFi Activity Rises After Network Upgrade

Avalanche’s DeFi ecosystem has grown sharply over the last quarter. Total value locked (TVL) climbed 37%, reaching $1.5 billion, after the launch of the Octane upgrade, which introduced faster transaction confirmations, lower fees, and a smoother user interface.

AVAX Total value locked (TVL)
Source: Messari

Data shows steady growth in both AVAX-based and USD-based TVL since early 2025. The USD value crossed $2.2 billion in late May, while AVAX-denominated TVL moved past 70 million tokens. These trends reflect higher capital allocation and growing developer activity within the Avalanche ecosystem.

Reports from Messari show that Avalanche’s network usage rose across multiple areas in Q2. Daily transactions increased by almost 170% to an average of 10.1 million. Daily active addresses also averaged over 519,000, up 210%.

Notably, these increases cover activity from Avalanche’s main C-Chain and its Layer 1 subnets. The improvements follow changes introduced by the Octane upgrade, which reduced friction for both users and applications. The numbers point to a growing user base and stronger project engagement.

AVAX Price Builds Momentum Near $27

Avalanche (AVAX) was priced at $27 as of press time. It has gained 9% over the last 24 hours, with a 7-day increase of 4%. Trading volume stands at just under $1 billion.

Meanwhile, the token has been moving within a tight range over recent weeks, with buyers defending key support levels. If the price holds above $27, analysts expect the market to test the $30 mark next. Current trends suggest that on-chain growth is starting to reflect in the token’s performance.

Long-term chart data shows that AVAX is testing a descending trendline that has been in place since late 2021. Price action is currently trading on the line of this resistance area. This structure also includes a rounded bottom pattern from 2022 to 2025.

A move above the trendline could open the door to a stronger price push. Chart analyst Smith sees a potential climb toward $140 if volume steps in. This would represent nearly an eightfold gain from current levels. While the breakout is not confirmed, traders are tracking the setup closely as altseason activity increases.

AVAX price chart
Source: X
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