Bitcoin is now trading 42% above its April lows, highlighting a powerful shift in momentum as bulls regain control of the market. With price action steadily climbing and key resistance levels getting tested, many analysts believe Bitcoin could soon break into uncharted territory. Despite continued global uncertainty — from interest rate speculation to geopolitical tensions — the overall fundamentals point to a resilient and strengthening market.
Institutional flows remain steady, demand outpaces sell pressure, and long-term holders show no signs of capitulating. This backdrop supports the growing view that Bitcoin could be on the verge of an expansive move, one that defines the next leg of the current bull cycle.
Top analyst Darkfost added to the bullish narrative by sharing a groundbreaking insight: for the first time in Bitcoin mining history, the average cost of production has surpassed the $100,000 mark. This not only underscores the increasing difficulty of mining but also sets a new benchmark for price support. When production costs rise, the incentive for miners to sell below that level weakens, potentially creating a strong floor. As both technical and fundamental signals align, the case for a breakout is gaining momentum, and the market is watching closely.
Bitcoin Holds Key Structure As Mining Costs And Price Converge
Bitcoin is trading above key demand levels, signaling strong interest from bulls as the asset consolidates just under its all-time high. Despite climbing over 40% from its April lows and sitting less than 5% away from its previous peak, BTC has yet to make a decisive move. This phase has left analysts divided — some anticipate a breakout into price discovery, while others warn of a retrace below the $100K psychological level.
Market structure remains intact, but volatility and indecision are keeping price action capped within a defined range. According to Darkfost, a fundamental shift is unfolding behind the scenes: for the first time in Bitcoin mining history, the average cost of production has surpassed $100,000. This historic milestone reflects increased difficulty and energy costs, tightening miners’ margins even as BTC trades above the six-figure mark.
Instead of triggering mass selling, this pressure is leading to miner capitulation through a different route — hash rate is declining, suggesting that unprofitable machines are being shut down rather than miners dumping Bitcoin. This supports price stability in the short term and may prevent the kind of miner-led selling pressure that has historically signaled local tops. The coming weeks could determine whether the market breaks higher or enters a deeper consolidation.
BTC Coils Beneath Resistance As Bulls Eye Breakout
Bitcoin is consolidating just below the $109,300 resistance level, continuing to hold above $103,600 support in a tight, sideways range. The 3-day chart shows a clear compression between these key levels, with BTC currently trading around $107,000. This range-bound structure signals indecision — bulls have defended the $103K zone multiple times, while repeated rejection around $109K has kept a breakout at bay.
Notably, price remains well above the 50, 100, and 200 simple moving averages, reinforcing the bullish structure despite the lack of immediate momentum. These moving averages — now aligned between $72,000 and $95,000 — show rising support, suggesting that the broader trend is still healthy and upward.
Volume, however, remains muted during this phase, indicating that a breakout — up or down — could be imminent once trading activity spikes. A close above $109,300 would likely trigger a fresh leg toward all-time highs around $112K and open the door to price discovery. On the other hand, a breakdown below $103,600 could lead to a test of the next major support near $100K.
Featured image from Dall-E, chart from TradingView
