Bitcoin Eyes Breakout as It Tests Key Resistance Near $110K

Bitcoin is once again at a critical juncture, testing a long-standing descending trendline that has capped price rallies since its last major surge. Currently trading near $108,200, BTC is approaching the psychological resistance at $110,000—a breakout above this level could pave the way toward a potential new all-time high.

Momentum indicators support the bullish case. The Relative Strength Index (RSI) has climbed above 58, signaling renewed buyer strength. While trading volume isn’t surging, it remains stable—an important factor for a sustained breakout. A daily close above the trendline could trigger the next bullish leg, pushing Bitcoin into price discovery mode with minimal overhead resistance before the $112,000–$114,000 zone.

However, this resistance level has previously caused sharp rejections, leading to multiple failed rallies. If history repeats, Bitcoin could retrace toward strong support between $100,000 and $105,000. A deeper correction could take BTC as low as $90,000, which aligns with the 200-day moving average—a common target during panic sell-offs and profit-taking.

The stakes are high. A successful breakout would reinforce Bitcoin’s narrative as digital gold and reignite bullish sentiment. On the other hand, another rejection could usher in a prolonged correction, testing market confidence once again.

As Bitcoin teeters on the edge of a major breakout, traders are watching closely. Whether BTC reclaims higher ground or revisits key support levels will likely set the tone for the months ahead.