Bitcoin Bulls Face $120M Challenge in Extending ‘Stair-Step’ Uptrend: Can the latest price surge overcome a significant resistance barrier?
Bitcoin Bulls Face $120M Challenge in Extending ‘Stair-Step’ Uptrend
Breaking Through the Resistance Barrier
Bitcoin’s latest sideways trading marks consolidation following the step higher into six-figure territory earlier this month. The price of Bitcoin (BTC) has climbed about 38% since April 9, advancing from around $75,000 to $104,000 as trade tensions eased and major market participants deployed capital.
The Classic Stair-Step Pattern
This rally can be described as a classic stair-step pattern: Initial bullish impulses are followed by periods of consolidation, which set the stage for the next upward move. For example, the initial increase from $75,000 encountered range-bound trading between $83,000 and $85,000. The subsequent step higher faced consolidation between $92,000 and $96,000. Similarly, since May 10, prices have oscillated mainly between $101,000 and $105,000, marking consolidation following the step into six-figure territory.
The Resistance Challenge
From here, advancing to the next phase of gains will require bulls to chew through a substantial number of sell orders at around $105,000, posing a significant resistance barrier. Sell orders worth nearly $50 million were open at $104,800 across major exchanges in addition to the $70 million in selling pressure at $105,000, according to data source Kiyotaka.ai.
Profit Taking and Market Indicators
The chart shows that the global aggregated order book is relatively stacked at higher price levels, hinting at potential profit taking as prices approach lifetime highs. Macro indicators and technical momentum indicators suggest the path of least resistance is on the higher side, meaning sooner or later bulls will absorb the selling pressure, lifting valuations to record highs.
Will Bulls Overcome the Challenge?
In other words, these sell walls won’t be there forever. Bitcoin’s global order book heatmap hints at potential profit taking as prices approach lifetime highs. The path forward is uncertain, but one thing is clear: bulls face a substantial challenge in extending the stair-step uptrend.
