Key Insights:
- Bitcoin confirms CME Gap support near $81K amid bullish momentum.
- Weak rejection suggests resistance is fading, boosting breakout potential.
- 2020 fractal hints at a major Bitcoin rally ahead.
Bitcoin price is showing signs of exiting its recently filled CME Gap, turning it into support, while historical fractals suggest a major move ahead.
Bitcoin CME Gap Support Holds as Resistance Weakens
Bitcoin’s latest daily close indicates that price is solidifying its exit from the recently filled CME Gap. The gap, located around $81,000, has now flipped into support, reinforcing bullish sentiment.
Market analyst Rekt Capital noted that any dips into the upper CME Gap level could be part of a post-breakout retest, fully confirming Bitcoin’s departure from this zone.
At the same time, Bitcoin attempted to close above a key blue resistance level but failed. However, analysts argue the rejection lacked strength, hinting that resistance is weakening. If the rejection remains shallow, price action will confirm two critical points:
- The blue resistance level is losing its grip.
- The CME Gap just below $81,000 is acting as firm support.
Fractals Hint at a 2020-Style Breakout
Beyond CME Gap dynamics, Bitcoin’s price structure is mirroring patterns seen in 2020, just before a major rally. This fractal comparison suggests that Bitcoin may be on the verge of a breakout.
Historical data often plays a key role in market sentiment, with traders looking for repeatable patterns. The 2020 fractal emerged during a similar consolidation phase, ultimately leading to a surge in Bitcoin’s value.
While past performance doesn’t guarantee future results, market participants are closely watching for signs that Bitcoin could replicate its previous cycle. The convergence of CME Gap support and weakening resistance adds to the case for a bullish continuation.
What’s Next for Bitcoin?
Bitcoin’s immediate trajectory depends on whether CME Gap support at $81,000 holds. A successful post-breakout retest could strengthen bullish momentum, leading to further upside.
Conversely, a deeper rejection from resistance could delay the breakout, forcing Bitcoin into a consolidation phase. However, with the fractal similarities and fading resistance, traders remain cautiously optimistic.
Disclaimer
In this article, the views, and opinions stated by the author, or any people named are for informational purposes only, and they don’t establish the investment, financial, or any other advice. Trading or investing in cryptocurrency assets comes with a risk of financial loss.
