- Bitcoin’s $107K support remains critical for confirming the next major price move.
- Over $23 million in shorts could liquidate if BTC retests the $106K zone.
- RSI and MACD hint at short-term weakness despite Bitcoin’s bullish price surge.
Bitcoin’s impressive climb continues, reclaiming the $110,000 level and leaving traders eager to see whether it can push past $111,000 according to Coingecko data. On May 26, 2025, Bitcoin touched $109,868, marking a 2.71% gain in 24 hours and a 6.51% climb over the past week.
JUST IN: $BTC reclaims $110K.
— CoinGecko (@coingecko) May 26, 2025
Will it test $111K? pic.twitter.com/ngQHBcxrGo
Heavy Liquidation Zone Looms Near $106K
According to analyst Ali Martinez, over $23.47 million in leveraged short positions could be wiped out if Bitcoin revisits the $106,268 level. A liquidation heatmap shows significant activity clustered around this price. That zone, glowing in yellow-green intensity, highlights a danger point for bearish traders. If BTC dips to that level and triggers forced liquidations, a cascade of short squeezes could send prices flying higher.
Besides, Bitcoin’s rapid rise from below $100,000 to over $110,000 in just two days has intensified market volatility. Traders who bet against the surge now face growing risk as bullish sentiment gains strength. Moreover, Martinez warns that this level represents a potential pivot for broader trend confirmation.
Bullish and Bearish Patterns in Play
Technical analysts see two possible chart formations forming on lower time frames. CryptoBusy outlines a bullish double bottom with a first base near $106K. If BTC stays above $107K, a breakout could drive the price toward $112K and beyond.
$BTC AT CRITICAL DECISION POINT ON THE LOWER TIME FRAME! 🚨
— CryptoBusy (@CryptoBusy) May 26, 2025
What happens next?
Two potential scenarios playing out:
📈 BULLISH CASE: Double Bottom Pattern
– First bottom at $106K , testing for second bottom
– If we hold above $107K = bullish double bottom confirmed
– Target:… pic.twitter.com/XgFl2vYUTL
However, failure to maintain that level may validate a bearish head and shoulders pattern. In that case, losing the $106K neckline may open the door for a drop toward $100K.
Consequently, the $107K support acts as the battleground for bulls and bears. Holding above it may boost confidence in continued gains. Losing it, however, could unravel the recent bullish momentum.
Indicators Signal Caution Despite Uptrend
From a momentum perspective, Bitcoin’s MACD line remains above zero, showing long-term bullish strength. Yet, the signal line has crossed above the MACD line, hinting at short-term weakness.
Additionally, RSI currently sits around 67.28 close to the overbought threshold of 70. This suggests a possible pullback or brief consolidation before another move.
According to Coincodex, BTC is projected to trade between $116,167 and $116,572 by year-end. This represents a potential 6.25% upside from current prices.ast $111,000.
