The BTC/USD pair has entered a phase of bullish consolidation, finding a strong footing above the $110,000 threshold. 

Market participants are closely watching this level, as a cluster of support between $110,000 and $111,000 appears to be underpinning the pair and offering a potential springboard for the next upside move. Logirium experts share a detailed analysis of the subject in their latest article.

In the recent BTC/USD forecast last Thursday, expectations leaned bearish after the market broke below the support level at $110,569. This technical breakdown suggested a possible retracement towards $108,750 and potentially even $107,284. 

The initial call was partially validated, as the price did dip during the early part of the day. However, the move lacked the sustained momentum required to test deeper supports. Instead, Bitcoin quickly found buyers, reversing higher and ultimately printing new local highs.

This reaction highlights the resilience of Bitcoin’s structure against the U.S. Dollar and suggests that, despite short-term volatility, the broader trend may still favor the upside.

Price Action and Technical Picture

The technical landscape has since shifted towards a more constructive, bullish formation. The weekend consolidation phase provided the market with breathing room, keeping Bitcoin trapped in a relatively tight range but crucially above key pivot levels.

The support zone between $110,000 and $111,000 is proving significant. Historically, when Bitcoin has maintained its footing above large psychological levels such as $100,000 or $110,000, it tends to attract renewed institutional and retail interest. The current support cluster suggests strong demand absorption, preventing deeper sell-offs.

The resistance area above, especially near $113,679, remains the immediate upside cap. A bullish breakout beyond this barrier could fuel renewed momentum, potentially opening the door for a broader rally. However, traders should remain mindful that such a breakout may be a stretch today given muted catalysts.

Key Support and Resistance Levels

• Immediate Support: $111,332: a bounce here offers the most attractive long opportunity.
• Cluster Support: $110,000 – $111,000: acting as the current bullish floor.
• Secondary Support: $108,750: a level that traders eyed in the last forecast but which failed to be fully tested.
• Deep Support: $107,284: remains an important downside marker in case of sharp reversals.
• Immediate Resistance: $113,679: a breakout trigger that could accelerate bullish momentum.

Market Sentiment and Fundamentals

On the fundamental side, today’s calendar is relatively light. There are no major scheduled releases or events of high importance impacting either Bitcoin fundamentals or the U.S. Dollar (USD). This absence of macroeconomic drivers leaves the market highly dependent on technical dynamics and short-term trader flows.

The U.S. Dollar Index (DXY) remains a parallel factor to monitor. While the DXY has held relatively stable in recent sessions, any sudden strength in the greenback could weigh on BTC/USD in the short term. Conversely, a softer USD would further support Bitcoin’s bullish case.

Trading Outlook

For intraday traders and swing participants, the best trade setup appears to be looking for a long position on another bounce from the $111,332 level. This aligns with the theme of buying support in bullish consolidation zones.

Key considerations include:

• Stop placement should ideally be kept below $110,000 to account for false breakouts while protecting against deeper losses.
• Profit targets could be staged at $113,000 and then $113,679, where resistance will likely test the strength of bullish flows.
• A clean break and close above $113,679 would signal strength, but given current market conditions, this scenario may require a broader risk-on shift or stronger volume inflows.

Broader Technical Implications

The consolidation above $110,000 may also serve as a bullish accumulation phase within a wider uptrend channel. Bitcoin’s ability to defend this level reinforces its role as a psychological anchor, and traders are treating it as a line in the sand for short-term bullish control.

If Bitcoin holds the support cluster for several more sessions, the likelihood of a sustained rally increases. Such formations often precede volatility expansions, where the price breaks out of its tight range and extends aggressively in the direction of prevailing momentum.

Conclusion

The BTC/USD pair is currently displaying bullish consolidation, supported by a strong cluster of supports between $110,000 and $111,000. While last week’s forecast expected a deeper dip, buyers have since stepped in to maintain control. 

With $111,332 acting as a potential rebound level and $113,679 as the key breakout resistance, traders should watch for intraday opportunities favoring the long side.

Absent significant macroeconomic drivers today, Bitcoin’s short-term trajectory will be dictated by technical signals, order flow, and trader sentiment. So long as the support floor holds, the bullish case remains intact, with upside targets continuing to attract market attention.