- Bitcoin trades within a bullish pennant on the 4H chart after a strong surge, with a potential breakout targeting $108,000 soon.
- A symmetrical triangle pattern has formed between $101K and $105.7K, suggesting building momentum for Bitcoin’s next major move.
- BTC consolidation continues on OKX with steady volume and no clear breakout yet, but the setup favors a bullish continuation to $108K.
Bitcoin is in a bullish pennant on the 4-hour chart, as indicated by ZAYK Charts, signaling a possible breakout to $108,000. It is currently, at the time of press, strong at $103,218.1, rising by a negligible 0.26%. This formation follows a strong surge that began around May 7, where prices shot up from $95,850 to just under $100,000. Since then, BTC has traded inside a tightening range, forming a textbook continuation pattern.
Besides the price action, the symmetrical triangle pattern stands out. The upper trendline stretches from $105,750 to around $104,000. Meanwhile, the lower support has steadily climbed from $101,000, closing the gap between bulls and bears. This compression signals a build-up of momentum for a possible breakout.
Strong Momentum Fueled the Pattern
The bullish momentum initially came from a powerful rally on day 7, followed by another green candle on day 8. These back-to-back moves pushed Bitcoin beyond $102,000. However, price action soon entered consolidation. Within the triangle, alternating red and green candles revealed indecision.
Source: ZAYK Charts
Moreover, trading volume stayed consistent during this period. No major spikes hinted at panic selling or euphoric buying. A brief drop below support on day 12 quickly recovered, showing the market’s resilience. Likewise, a green wick on day 13 tested the upper resistance but failed to close above it.
Traders Eye Breakout as Price Coils Tightly
Currently, Bitcoin trades well within the pennant boundaries. It awaits a decisive push above or below the trendlines. However, given the prior rally, the pattern favors a bullish breakout. Consequently, a successful breach above $104,000 could open the path toward $108,000.
Additionally, a green projection box on the chart targets the $108K level. This aligns with the measured move from the earlier impulse. This bullish setup appears on the OKX exchange, tracking BTC against Tether (USDT). The timeframe spans May 4 to 25, with crucial movement between May 7 and 18.
