Bitcoin began the new week under pressure after a classic weekend pump-and-dump pattern, with the price now sitting at a key technical support zone. Despite the short-term drop, the broader market structure remains bullish, suggesting that the current pullback could be the prelude to another breakout rally.
Weekend Whipsaw Brings Bitcoin Back to Key Levels
After surging on low-volume weekend trading, Bitcoin (BTC) quickly reversed course on Monday, shedding gains and returning to a pivotal support area. This retracement, while seemingly abrupt, is characteristic of weekend-driven volatility, where thin liquidity amplifies price movements.
Bitcoin is currently trading near $102,790, a region stacked with technical confluence:
- 0.618 Fibonacci retracement level
- Volume Weighted Average Price (VWAP)
- Bottom of the bullish ascending channel
This area isn’t just a support zone it’s shaping up to be a potential accumulation point, where price could stabilize before another leg higher.
Market Structure Remains Bullish
Despite the retracement, Bitcoin continues to hold higher highs and higher lows, respecting the boundaries of a bullish ascending channel. The overall structure remains intact, and no major breakdown has occurred to invalidate the current uptrend.
The 4-hour chart shows that Bitcoin is still trading within its upward channel, and the ongoing correction appears to be a healthy pullback rather than a shift in trend.
What to Watch: Stabilization and Consolidation
For bullish momentum to resume, Bitcoin needs to:
- Hold above the $102,790 confluence support zone
- Establish a base through consolidation on intraday charts
- Break above local resistance and rotate toward the channel’s upper boundary
If these conditions are met, Bitcoin could soon target new all-time highs, especially as market sentiment remains broadly optimistic and institutional interest continues to grow.
Outlook for the Week Ahead
Bitcoin’s recent price action highlights the risks of weekend trading, but also underscores the resilience of the bullish trend. If the support zone holds firm, we could see the asset bounce and push toward the ascending channel’s upper limit, which remains untested in the current rally.
This period of consolidation could be the calm before the breakout, offering high-probability long setups for traders watching for confirmation of a base.
Bitcoin’s short-term volatility has brought it back to a crucial technical zone, but the bullish market structure remains intact. As long as BTC holds this support, the probability of another breakout remains high. Traders and investors should keep an eye on consolidation signals and volume buildup at current levels this may be the springboard for Bitcoin’s next move toward new highs.
