BTC Bounces Strongly From Key Support Zone, Traders Eye $123K Resistance
Bitcoin (BTC) showed renewed strength on Thursday, rebounding sharply from the $112,500 support zone following comments from U.S. Federal Reserve Chair Jerome Powell. The world’s largest cryptocurrency is trading around $114,200, up nearly 5% in the past 24 hours, as investors interpret Powell’s remarks as a sign of easing pressure on risk assets.
For weeks, Bitcoin had been trading inside a descending channel, with price repeatedly testing lower support levels while facing consistent resistance near $123,000. The recent move has injected bullish momentum, with the green demand zone between $111,700 and $113,000 once again proving to be a crucial floor.
Market analysts suggest Powell’s tone may have acted as a catalyst for buyers. “The Fed chair’s comments signaled a potential slowdown in tightening policies, which gave Bitcoin a reason to bounce strongly,” said one macro strategist. “Risk assets are extremely sensitive to Fed language, and BTC has responded instantly.”
On the technical side, Bitcoin’s breakout from the lower range suggests growing demand. A sustained move above $115,500 could open the path toward $119,000, while the $123,000 resistance zone remains the major hurdle for bulls. Failure to hold above current levels, however, may see BTC retesting its green support range.
Despite short-term volatility, Bitcoin continues to benefit from its positioning as a hedge in uncertain economic conditions. “Institutional flows are still cautious, but the resilience at key support is a sign that long-term accumulation is ongoing,” noted a digital asset researcher.
Disclaimer
This content is for informational purposes only and does not constitute financial, investment, or legal advice. Cryptocurrency trading involves risk and may result in financial loss.