Bitcoin Could Eye $120K After Rebound as Analysts Point to Low Holder Losses and Strong Support

• BTC broke a descending channel and now eyes $120K with support near $108K — monitor volume and re-tests.

• 91% of Bitcoin holders remain in profit after the correction, suggesting limited distribution risk.

• Short-term resistance sits around $114K–$115K; a sustained push above that could open $120K–$125K targets.

Bitcoin rebound: BTC eyes $120K after an 11% dip; 91% of holders remain profitable. Monitor support at $108K and resistance at $115K — read latest levels and plan trades.

What is driving the Bitcoin rebound?

Bitcoin rebound is driven by a breakout from a mid‑August descending channel, renewed buyer interest at $108K support, and resilient holder profitability after an ~11% correction. Short-term momentum and rising volumes suggest consolidation rather than a deep bear phase.

How significant is the holder profitability after the correction?

Data cited by market analysts shows roughly 91% of Bitcoin supply remains in profit, leaving only about 9% underwater. Analyst Cas Abbé noted that historical cycle bottoms saw near 50% supply in loss, so current figures imply this pullback is shallow and likely a rotation or reset.

Bitcoin rebounds from an 11% dip, with analysts eyeing $120K as strong support, low holder losses, and bullish sentiment drive confidence.

• Bitcoin broke out of a downtrend channel and now eyes $120K as traders gain confidence from stronger momentum and solid support levels.
• Despite an 11% correction, 91% of Bitcoin holders remain in profit, showing this dip is more a reset than a deep bear phase.
• Analysts highlight support near $108K and resistance at $115K, suggesting Bitcoin is consolidating before a potential leg higher.

Bitcoin is showing signs of breaking free from its recent decline. The cryptocurrency traded at $111,519.41 against Tether, gaining $712.70 or 0.64% in the latest session. Analysts note that Bitcoin has broken out of a descending channel that began in mid‑August, when prices peaked above $125,000.

The correction pulled Bitcoin down nearly 11% from those highs, with multiple rejections at resistance levels shaping the channel.

Crypto analyst Scient remarked, “$BTC broke out from the downtrend channel hence took some shitcoin longs few hours ago. Now flip red box and $120k in play.” His statement underlined growing confidence that Bitcoin could rally toward the $120,000 level if current momentum holds.

Source: Scient

Why does the correction show limited pain for holders?

Low on‑chain losses indicate strong distribution resilience. Analyst Cas Abbé highlighted, “Only 9% of Bitcoin supply is in loss. Let that sink in.” Historical comparisons to 2015 and 2018 show the present drawdown is muted by comparison, which supports the view that this is a healthy consolidation.

Technical support between $108,000 and $109,000 has repeatedly attracted buyers, reducing the risk of a deeper unwind. Resistance near $114,000–$115,000 continues to cap gains, creating a clear range for short‑term traders.

Source: Cas Abbe

How should traders approach the short-term outlook?

Use a range-based plan: watch $108K as primary support and $114K–$115K as immediate resistance. A decisive close above $115K with rising volume would strengthen the case for moves toward $120K–$125K.

On the four‑hour chart, candlestick structure shows sharp swings but consistent buyer responses at the lower channel boundary. Volume spikes on recoveries suggest participation is real, not just short‑covering.

Frequently Asked Questions

Is $120K a realistic target for Bitcoin in the near term?

Yes. With a confirmed breakout from a descending channel and support near $108K, analysts consider $120K achievable if momentum and volume persist. Resistance at $114K–$115K must be overcome first.

How much supply is currently unrealized loss for Bitcoin?

Approximately 9% of circulating Bitcoin supply is in unrealized loss based on analyst reporting, a low figure compared with prior cycle lows and an indicator of limited distribution pressure.

Key Takeaways

• Breakout and momentum: Bitcoin has broken a descending channel and shows improving momentum.
• Holder resilience: Around 91% of holders remain profitable, implying this correction is shallow.
• Key levels to watch: Support $108K; resistance $114K–$115K; $120K–$125K upside if breakout sustains.

Conclusion

Bitcoin rebound momentum, supported by low unrealized losses and clear technical support near $108K, points to consolidation with upside potential. Traders should monitor volume and a close above $115K for confirmation that $120K is in play. COINOTAG will continue to track levels and market signals.