Bitcoin price has continued to move up in a strong bullish fashion after a brief consolidation phase. The cryptocurrency has now broken out above both its short and long-term moving averages, a major technical signal. This crossover of key thresholds indicates an increasing dominance of buyers, which has historically been consistent with intermediate upward trends.
The Relative Strength Index (RSI) is currently just below the 70 threshold, which could signal that the pace of the rise might cool off a bit. A new breakthrough of this level could, however, spark even more interest from investors. Conversely, a drop below 60 could bring selling pressure.
Critical support is visible around $102,000, where the 21-period moving average meets the previous consolidation zone. Breaking below this level could trigger a correction towards the symbolic $100,000 mark. However, resistance around $105,000 is currently limiting further gains. If this resistance is overcome, BTC could then target $107,500 and possibly $110,000.
Massive Inflows Support Bitcoin’s Rise
The Chaikin Money Flow indicator shows a positive bias, revealing continuous capital inflows into Bitcoin. While this flow is not extremely high, its position does confirm the underlying bullish interest in the asset.
The bullish crossover of the short-term moving average above the long-term one is a crucial technical signal.
According to Benzinga's analysis, this type of setup has historically coincided with intermediate upward trends. In summary, technical indicators and capital flow suggest that Bitcoin is gearing up for a new strong bullish push. If the $105,000 ceiling is breached, an acceleration towards $110,000 could very well occur in the coming weeks.
