By ending the week above the bull market support band, a crucial technical zone that traditionally divides bullish expansions from corrective phases, Bitcoin has finally demonstrated its tenacity. Now that BTC is trading at about $115,000б the market can declare with certainty that it is no longer in a downward trend. The weekly chart clearly illustrates the situation.
Staying out of trouble
Bitcoin recovered and closed firmly above the 20-week EMA and 21-week SMA (the bull market support band) following a few weeks of erratic movement and a brief decline below the support zone near $110,000. This reclamation is important because past cycles have demonstrated that remaining above this band frequently results in renewed momentum and trend continuation rather than more significant corrections. Since mid-October, the price structure has stabilized and shown higher lows.
An additional layer of long-term support around $100,000 is provided by the rising 50-week moving average, which continues to be a crucial technical and psychological safety net for investors. The candles are currently consolidating above the green zone, which is a common pattern for market resets prior to a subsequent impulsive phase. There seems to be a shift in market sentiment as well. After weeks of net distribution, midsize wallets add exposure to on-chain activity, exhibiting mild accumulation.
Bitcoin retest coming
The most recent weekly close is being interpreted by traders as a sign that Bitcoin may be preparing for a retest of the $118,000-$120,000 range, where there is still a lot of liquidity. Although there is still some short-term volatility, the overall technical picture is now clearly bullish.
The market will regard this as a continuation phase rather than a retracement as long as Bitcoin stays above the bull market support band. Confidence has returned as a result of the confirmation that Bitcoin has once again proven resilient, protecting its long-term bullish structure.