Technical analysis: Momentum stays strong as price discovery continues (July 14, 2025)

Key takeaways:

• Bitcoin remains firmly in bullish territory, building on a powerful July rally that’s taken it to new all-time highs above $120,000.
• Bitcoin is currently trading within a well-defined rising trend channel on the medium- to long-term chart.
• Momentum-wise, the Relative Strength Index (RSI) is hovering above 70, signaling strong upward pressure.
• With no major resistance in sight and continued tailwinds from institutional demand, macro expectations, and market sentiment, Bitcoin appears well-positioned to continue climbing.

The setup heading into this week (July 14–21) points to continued upside, with strong technical and fundamental support beneath current price levels.

Current trend and market momentum

Bitcoin recently broke out of a horizontal consolidation range and is now riding within a well-defined rising trend channel on the medium-to-long-term chart. 

It also cleared the projected breakout target from a textbook rectangle formation around $107,710. A bullish confirmation that added fuel to the recent surge.

Right now, the charts show little in the way of overhead resistance. With BTC in price discovery mode, the path of least resistance is clearly up.

Momentum-wise, the Relative Strength Index (RSI) is hovering above 70, signaling strong upward pressure. Yes, that’s technically “overbought,” but in trending markets, RSI can stay elevated for extended periods. Especially when backed by strong fundamentals, as it is now.

Key catalysts driving the Bullish setup

• ETF inflows: Institutional buying via spot ETFs continues to be a major engine behind Bitcoin’s rally. The demand isn't just steady. It’s growing.
• Rate cut expectations: Markets are pricing in multiple Fed rate cuts for late 2025. A weaker dollar and looser monetary policy typically support Bitcoin.
• Regulatory climate: Sentiment is further boosted by a more crypto-friendly tone in Washington; watch out for Crypto-week starting today, 14th July.
• Whale behavior: Large short liquidations have added fuel to the rally, but it's worth watching for signs of profit-taking or distribution (SOPR and whale wallet outflows could offer early clues).

Support levels to watch

In the event of a pullback (which wouldn’t be unusual after such a run), here are the key zones to keep an eye on:

• Immediate support: Around $112,214 (Supertrend) and $110,174 (prior breakout zone).
• Stronger support: Near $109,000, and below that, the 50-day EMA at $105,843 and the psychological level at $105,000.
• Critical level: A daily close below $110,000 could shift short-term sentiment and open the door to a dip toward $108,000.

Resistance zones and potential price targets

Since Bitcoin is trading in uncharted territory, we turn to Fibonacci extensions and psychological round numbers for clues:

• Short-term target: Holding above $113,000 would be a strong sign of continuation. If momentum sticks, a run toward $122,000–$125,000 is very much on the table.
• Next Fibonacci extension targets: $127,798 and $135,425 are the levels to watch.
• Bull case: Some analysts are pointing to a possible move toward $128,000–$132,000 before the end of July. Fueled by continued ETF demand, institutional demand  and a tightening supply.

Bottom line: The bulls are in control

All signs still point north. Bitcoin’s trend remains solidly upward, backed by strong momentum and supportive fundamentals. Yes, the RSI is running hot, and a brief pause or pullback wouldn’t be out of the question, but so far, there’s no real evidence of exhaustion.

With no major resistance in sight and continued tailwinds from institutional demand, macro expectations, and market sentiment, Bitcoin looks well-positioned to keep climbing as July unfolds. Unless something drastic changes, this rally still has room to run.

Keep updated with the latest market moves by tracking BTC or setting alerts in TabTrader.

👉 Want to learn more about Technical analysis? Start here:  

1. Candlestick charts.

2. Exponential Moving Average (EMA) Explained

3. How to Use Moving Average Convergence/Divergence (MACD)

4. What are Higher Highs and Lower Lows?

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