BTC/USD Technical Analysis (1-Hour Chart): Approaching $110,000 — Is Bitcoin Entering a New Phase?

Market Context and Current Price Trend

As of July 3, 2025, BTC/USD (Bitcoin/US Dollar) has surged to the upper $109,000s on the 1-hour chart, showing strong bullish momentum approaching the psychological and technical barrier of $110,000. Multiple consecutive bullish candles have formed in recent hours, indicating a solid short-term uptrend fueled by renewed buying pressure after a brief pullback.

This article evaluates the short-term outlook for Bitcoin using technical analysis, analyzing chart patterns, moving averages, MACD, ADX, and volume from multiple perspectives.

Chart provided by cTrader Platform

Moving Average Analysis: Support Structure Reflecting Trend Strength

The chart shows two moving averages — the red line is likely the 200-period Simple Moving Average (SMA), and the blue line represents the 20-period Exponential Moving Average (EMA). The current candles are clearly trading above both averages, maintaining a classic bullish trend structure.

Notably, the short-term EMA appears to be crossing above the long-term SMA, forming a potential Golden Cross. This crossover is widely recognized as a buy signal and strongly suggests further upside potential. Such moving average dynamics also influence investor sentiment and often serve as technical support.

MACD Behavior: Momentum Slows Slightly but Remains Bullish

The MACD histogram remains in positive territory, although the MACD line (yellow) is converging with the signal line (red), signaling a brief slowdown in momentum. However, the upward bias remains intact.

Given the rising bullish candles and histogram over the past few hours, this price level appears to be supported by solid momentum, not just a temporary spike.

ADX Analysis: Quantifying Trend Strength

The ADX is currently above 60, indicating a strong trend is in play. Generally, ADX above 25 signifies a clear trend, while readings above 50 suggest a very strong ongoing trend.

This kind of price rise, backed by a high ADX, signals a legitimate breakout rather than mere range movement, making it an ideal setup for trend-following (momentum) strategies.

Volume and Price Relationship: A Reliable Breakout

The sharp rise in volume as BTC broke above $109,000 adds credibility to the breakout. According to the fundamentals of technical analysis, price movement accompanied by volume reflects genuine market participation, thus reinforcing the bullish scenario.

Although volume has eased slightly, any resurgence in trading activity could significantly increase the chances of breaking through the $110,000 resistance level.

Resistance and Support Levels: Detailed Breakdown

Summary: Key Strategy Points

BTC/USD is currently supported by all major technical indicators — momentum, moving averages, and ADX — pointing to a continued bullish market, with a potential breakout above $110,000 looking increasingly likely.

However, psychological barriers often attract selling pressure. Traders should also consider potential dips toward $108,000 as entry opportunities. Once above $110,000, $112,500 becomes the next probable target, and the bullish bias may continue into the mid-term.

When making investment decisions, always assess volume changes, MACD signals, and support line behavior to stay flexible in rapidly changing market conditions.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Trading should be conducted at your own discretion and risk.

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