Technical Analysis: Bitcoin Bull Flag, Upside Resistance Level

Bitcoin's price action is showing constructive signs, marked by a decisive break above a key downtrend line that had constrained upward movement since the $109,000 all-time high. The subsequent confirmation of this breakout strengthens the technical picture, suggesting a higher probability of a genuine trend reversal. Currently, Bitcoin appears to be consolidating in what technical traders identify as a bull flag pattern, which typically precedes further upward price action.
From a bullish perspective, the immediate hurdle lies at the minor resistance level of $88,500. A successful breach of this level would then target the more significant resistance at $92,000. Conversely, any downward price correction would likely find support at the retested downtrend line, which previously served as resistance. This technical support is expected to align with the established major support zone ranging from $74,000 to $70,000.
Furthermore, Bitcoin has shown indications of functioning as a safe haven asset. In the context of significant Dollar weakness driven by trade disputes and increasing bond yields, Bitcoin has experienced notable accumulation. This behavior suggests a rotation of capital by investors seeking refuge from perceived risks in equity markets, the Dollar, and treasuries. While gold has been the primary beneficiary of this safe haven demand, Bitcoin appears to be attracting a portion of this capital flow.