Bitcoin is showing strong signs of a bullish recovery, with its price approaching the key $70K resistance level. Buyers are focused on breaking this critical threshold, aiming for a new all-time high by the end of the year. Technical analysis shows that Bitcoin has been supported by the 0.5 and 0.618 Fibonacci retracement levels, while the surge in buying pressure has allowed Bitcoin to reclaim the 100-day and 200-day moving averages.
A successful breakout above the $70K resistance level could lead to a sharp upward move, potentially driven by a short squeeze and reinforcing the bullish trend. On the 4-hour chart, Bitcoin’s bullish momentum is more apparent, with the asset seeing a strong bounce at the ascending wedge’s lower boundary near $58K.
This move pushed Bitcoin above its previous significant swing high at $66K, marking a higher high in the 4-hour timeframe. Now, BTC is consolidating within a narrow range between $66K and $70K, and breaking above the $70K resistance level would confirm the continuation of the bullish trend, potentially pushing Bitcoin toward a new all-time high in the mid-term.
On-chain analysis shows increasing buying pressure and a breakout above the critical $70K level appears imminent. The futures market suggests that this threshold could trigger a significant short liquidation event, amplifying the uptrend. The liquidity concentration has shifted above the $70K mark, making this price range a focal point for market participants.
A breakout above this level would likely attract more buyers, forcing short sellers to close their positions and fueling upward momentum, potentially resulting in a short squeeze. In summary, the technical and on-chain analysis show strong bullish signals for Bitcoin, with a breakout above the $70K resistance level expected soon, potentially leading to a sharp upward move and a new all-time high by the end of the year.
