Bitcoin Nears Inflection Point on Path to Major Rally
Bitcoin has approached a significant inflection point following a break of its 4-hour trendline, with $107,000 identified as a key resistance. The US government’s reopening may inject fresh liquidity via resumed Treasury operations and bond auctions. Upcoming CPI and PPI releases could trigger volatility, but a favorable outcome combined with rising US equities might fuel a sustained Bitcoin rally. Technical indicators reinforce the bullish outlook: the 4-hour Stochastic RSI has crossed up from oversold, confirming a trend breakout, while the daily chart shows price channeling between long-term trendlines. On the 2-week chart, extended Stochastic RSI cycles suggest momentum for further upside, with historical cycles delivering rallies between 70% and 194%. Applying the smallest 70% gain from a ~$100,000 base targets $170,000, while a 100% surge points to $200,000. Traders should watch the retest of the bottom 8-year trendline and the $107,000 resistance for entry opportunities.
Bullish
This news is bullish as technical indicators and macro catalysts align to support an upward Bitcoin trajectory. The 4-hour Stochastic RSI crossover and confirmed trendline break signal short-term bullish momentum, while the price’s position between long-term trendlines suggests limited downside. The reopening of the US government is poised to release fresh liquidity via Treasury operations and bond auctions, potentially fueling capital flows into risk assets like Bitcoin. If upcoming CPI and PPI figures meet or beat expectations, US stocks could rally, reinforcing positive sentiment and driving Bitcoin higher. Historical patterns show multi-cycle Stochastic RSI cross-ups in the 2-week timeframe have preceded rallies of 70% to 194%, projecting targets between $170,000 and $200,000. Traders should monitor the $107,000 resistance and trendline retests for confirmation of the next leg up.