Bitcoin’s Pullback A Healthy One? Chart Signals Move To New All-Time High

Reason to trust Strict editorial policy that focuses on accuracy, relevance, and impartiality Created by industry experts and meticulously reviewed The highest standards in reporting and publishing How Our News is Made Strict editorial policy that focuses on accuracy, relevance, and impartiality Ad discliamer Morbi pretium leo et nisl aliquam mollis. Quisque arcu lorem, ultricies quis pellentesque nec, ullamcorper eu odio. Bitcoinappears to be quietly gathering strength beneath the surface. After a healthy pullback that shook out weak hands, the market is showing signs of renewed momentum. Key technical signals suggest this correction may have been a setup for the next major rally, potentially paving the way for a new all-time high. Healthy Correction Within A Dominant Uptrend

EtherNasyonaL, in a recent post, highlighted that Bitcoin continues to maintain its upward trajectory despite recent market fluctuations. The analystdescribed the latest movement as a healthy correction within the broader bullish trend, emphasizing that such retracements are natural in a sustained rally. Related Reading Bitcoin Pauses Below Key Levels – Can It Regain Momentum For A Rally? 2 days ago

Following a rejection from the supply zone, Bitcoin found strong supportat a key demand area, where buyers quickly stepped in to defend the price. This rebound underscores the underlying strength of market participants and reaffirms that bullish sentiment remains dominant. BTC’s pullback leads to a Higher Low | Source: Chart from EtherNasyonaL on X

EtherNasyonaL noted that short-term volatility, for traders not involved in leveraged positions, often appears as noise in the bigger picture. BTC’s macro trend is still positive, and the ongoing correction may simply serve as fuel for the next leg higher. Overall, Bitcoin’s structure remains solid, with its trend intactand momentum still alive.  Bullish Spring Formation Points To Possible Breakout Setup

Crypto analyst Christopher Inks, in an X post, noted that Bitcoin’s latest price action has refined its trading range, offering a clearer market structure. He suggested that the asset may have just formed a heavy spring or bullishSwing Failure Pattern (SFP), a setup that often precedes strong upward movement.  Related Reading Here’s Why The Bitcoin Price Crashed After Hitting $125,700 All-Time High 5 days ago

If this bullish setup holds, the analyst expects a validation phase, where Bitcoin could form a higher low on lower volume, a classic sign of successful testing. Such a move would confirm the spring’s strength and potentially trigger momentum toward a new all-time high (ATH). This phase is critical in determining whether the next major rally is about to begin.

Inks also pointed to Open Interest (OI) as a key confirmation tool. A decline in open interest as price consolidates would suggest short covering and validate the bullish test. On the other hand, rising OI on lower closes would imply continued distribution, signaling that the marketmay need more time before reversing decisively.

From an Elliott Wave Theory (EWT) perspective, Inks identified a three-wave structurefrom the swing low while printing a new swing high that fits a flat correction pattern. Since flat corrections often occur before the continuation of a larger uptrend, this analysis aligns with the Wyckoff interpretation, suggesting Bitcoin’s structure remains strong and poised for another upward leg. BTC trading at $111,880 on the 1D chart | Source: BTCUSDT on Tradingview.com Featured image from Pixabay, chart from Tradingview.com