Bitcoin Eyes $105K–$110K Support for September Rally
Bitcoin closed August with its first monthly decline since April, reviving historical September Effect concerns. Yet analysts note similarities to the 2017 cycle: late-August pullbacks followed by rebounds. A former resistance zone at $105,000–$110,000 now offers key support. Weekly RSI shows a hidden bullish divergence, signaling fresh buying pressure. Coupled with a weakening U.S. dollar driven by expected Federal Reserve rate cuts and a negative 52-week BTC/DXY correlation of –0.25, Bitcoin may attract new inflows. Analysts Rekt Fencer and ZYN forecast a rally above its all-time high to around $124,500 within 4–6 weeks. Should this scenario play out, altcoins could also see multi-fold gains.
Bullish
The news combines technical and macro factors that lean bullish for Bitcoin. Historically, August declines often precede September rebounds, and the flipped resistance at $105K–$110K provides a solid support zone. The weekly RSI divergence highlights underlying buying pressure. Macro tailwinds—namely a weakening U.S. dollar driven by anticipated Fed rate cuts and a negative BTC/DXY correlation—could drive fresh inflows into Bitcoin. Analysts projecting a rally to $124,500 within 4–6 weeks further bolster this view. In the short term, traders may see a bounce off the $105K support. Over the medium term, breaking the all-time high could trigger broader market optimism and altcoin rallies.