Bitcoin Technical Analysis: Market Outlook on May 29, 2025

Technical analysis of Bitcoin on May 29, 2025, exploring support/resistance zones and indicators.

On May 29, 2025, Bitcoin is trading around $109,000, with the market assessing conditions for its next move. Technical analysis indicates that Bitcoin is within a short-term ascending channel but faces selling pressure near key resistance levels. This analysis explores resistance and support zones, common indicators, and the market outlook. **Resistance and Support Zones** Bitcoin is currently near a significant resistance level at $112,000, which has previously halted upward momentum. Breaking this level could lead to a rise toward $115,000. If it fails to break through, a price correction is likely. Key support levels include $105,000, $103,500, and $100,500. The $103,500 support is particularly significant due to its alignment with the 50-day moving average. **Technical Indicators** The Relative Strength Index (RSI) on the daily timeframe is around 55, indicating a neutral state. This suggests the market is neither overbought nor oversold, leaving room for movement in either direction. The 50-day and 200-day moving averages remain bullish, with the price above both, signaling strength in the uptrend. However, a bearish divergence in RSI could warn of a potential short-term correction. **Price Pattern Analysis** On the 4-hour timeframe, Bitcoin has formed an ascending triangle, typically a bullish pattern. Breaking the upper trendline could push the price toward $115,000. Conversely, a drop below the lower trendline might lead to a decline toward the $103,500 support. Trading volume has increased recently, indicating heightened trader activity. **Market Outlook** Based on current data, Bitcoin retains short-term bullish potential, particularly if it breaks the $112,000 resistance. Fundamental factors, such as increased inflows into Bitcoin ETFs and reduced geopolitical concerns, support this trend. However, traders should remain cautious of correction signals, as a break below $103,500 could lead to a drop toward $100,500. Risk management is crucial in this price range. **Conclusion** The Bitcoin market on May 29, 2025, is at a critical juncture. Breaking the $112,000 resistance could fuel further gains, but failure to do so may trigger a correction. Traders should monitor indicators and key levels closely and adjust their strategies accordingly.