• Bitcoin hit a new all-time high above $125,500, showing strong bullish momentum.
• Technical indicators signal continued upside, but near-term resistance could trigger brief consolidation.
• The Elliott Wave structure suggests Bitcoin could either extend toward $136K or retrace to $119K before the next rally.

Bitcoin has entered a new phase of strength after breaking its previous record, climbing to an all-time high above $125,500. The leading cryptocurrency is trading around $124,329.73, up nearly 11% this week. This breakout marks a shift in market structure that invalidated the earlier expectation of a major correction.

According to market analyst CasiTrades, Bitcoin’s price action now confirms an impulsive wave pattern under the Elliott Wave Theory. The move reached the 1.618 Fibonacci extension, a classic Wave 3 target, indicating a transition out of correction and into a larger bullish cycle.

CasiTrades explained that Bitcoin’s retracements have been unusually shallow, with the recent correction only touching the 0.118 level. This shows underlying strength, but it also means the market hasn’t fully cooled off.

From this stage, Bitcoin could either continue higher toward the 2.618 Fib extension at $136,000 or pull back into a Wave 4 consolidation near $119,000. Both scenarios remain within a healthy bullish framework.

Momentum Indicators Support Bitcoin’s Continued Upside

The weekly chart sets up very technologically well. Bitcoin ended the week at $124,103.63 after starting at $123,003.84 and hitting a high of $124,337.69. The price is sitting on, or just above, the upper edge of the Bollinger Band, with the 20-week simple moving average (SMA) rising at $113,228.01, a clear bullish indication.

Relative Strength Index (RSI) is retaining 64.9, nicely above its 14-week average of 62.36. This indicates healthy momentum without crossing overbought ranges. Meanwhile, MACD histogram has been steadily turning bullish, indicating buyers are steadily gaining complete dominion over the market.

Resistance and Support Zones Define Next Move

Bitcoin’s next level of resistance comes close to the upper Bollinger Band at $125,500. A close above here on a weekly basis could authenticate a new ascent leg and create a path towards $136,000. On the lower side, the first key support area comes at the 20-week SMA close $113,200, while the lower band at $101,000 denotes the general floor of volatility.

If BTC consolidates around its current highs prior to another breakout, then market momentum could be reset for a preparation on the next impulsive wave. In the meantime, the structure remains bullish, provided a clear break or rejection below $113,000, then there is a change of trend direction.

Also Read: Bitcoin (BTC) Shatters Records at $125,750 — Is $200K Next?