Technical analyst John Bollinger has indicated that Bitcoin’s recent price surge may be showing signs of exhaustion as it approaches the critical $110,000 resistance level, suggesting a potential trend reversal or consolidation phase.
Bollinger’s analysis identifies a ‘three pushes up’ pattern following a ‘W’-shaped bottom formation. This technical structure often signals that the momentum driving an asset’s upward trajectory is weakening.
The assessment points to diminishing buying pressure behind Bitcoin’s rally, raising the possibility of a pause or reversal in the current uptrend. The $110,000 price point has solidified as a significant barrier, with repeated attempts to break through failing to sustain.
In light of this analysis, traders are advised to exercise caution. Reviewing existing positions and preparing for potential increased market volatility or a period of consolidation is recommended.