Bitcoin Trading at $107,000 as Wedge Formation Limits Price Movement

Bitcoin is currently trading around $107,000 after recovering from a low of $99,000 earlier this week. Its upward movement is hindered by key resistance just below $108,000.

Wedge Formation Limits Bitcoin Below $108,000

Bitcoin consolidates within a descending wedge pattern on the 1-hour chart.
The formation occurred after a rejection above $108,000 on July 26.
This wedge has formed beneath the $108,351 level, the previous all-time high.
Trading volume remains stable without a strong directional bias.
Analyst Daan notes that while a breakout could occur, market volatility is present.

Break Above $110k Could Alter Market Dynamics

A confirmed breakout above $108,000 may initiate a larger price movement.
Analysts suggest monitoring larger timeframes for confirmation of this breakout.
A successful breakout could influence altcoin markets positively.
Without breaking this resistance, Bitcoin risks further downside volatility if support fails.

Currently, Bitcoin trades at approximately $107,447, facing challenges from narrowing price action within the wedge formation. Whether it breaks upward or downward depends on its response to the wedge boundaries and the $108,000 resistance line.