Bitcoin Could Sustain Breakout Above $110K With $116K as Next Target, Analysts Note Gold Divergence

• Bitcoin broke out of a falling wedge; $116,000 is the near-term upside target if $110,000 support holds.

• BTC/Gold ratio at 36.54 highlights a market inflection while gold trades near $3,500 per ounce.

• Analysts set Q4 targets of $150K–$200K but note ETF flows, September seasonality, and CME gaps present short-term risks.

Bitcoin wedge breakout near $110,000 shows upside potential; monitor $116K target, BTC/Gold ratio, and whale flows. Read the full technical update from COINOTAG.

Bitcoin confirms a wedge breakout near $110K as analysts track support, gold divergence, and whale activity for Q4 momentum.

• Bitcoin broke out of a falling wedge, with $116K set as the next upside target if support near $110K holds.
• The BTC/Gold ratio at 36.54 shows an inflection zone as Bitcoin retests key levels while gold stays near $3,500.
• Analysts see Q4 targets of $150K–$200K, though ETF outflows, September weakness, and CME gaps pose short term risks.

Bitcoin has broken out of a falling wedge structure after weeks of downward pressure, pointing to renewed upside momentum. Price action showed successive lower highs and lower lows contained within converging trendlines before the breakout.

According to analyst Captain Faibik, the breakout above the descending resistance line confirms a reversal, placing $116,000 as the next major objective. The move developed around $110,000–$110,500, where a strong surge in demand flipped the market bias toward bullish territory.

What is the significance of the $110,000 breakout zone?

The $110,000 level now acts as critical breakout support and a psychological pivot for traders. Early trading above this point strengthened confidence that the wedge breakout could sustain, with a sharp bullish candlestick and higher volume confirming buyer interest. Failure to hold these levels may trap buyers and push price toward $108,000–$106,500.

How does the BTC/Gold ratio influence the breakout?

The BTC/Gold ratio, currently around 36.54, is an important macro gauge. Gold trading near $3,500 per ounce while Bitcoin retests breakout levels creates a divergence that can define near-term direction. Historical episodes (April 2025 correction) show divergence periods precede rapid rebounds, underscoring the ratio’s value as a confirming indicator.

What are on-chain and institutional signals to watch?

Whales are increasing Bitcoin accumulation while oversold RSI levels support a recovery thesis. Analysts highlight ETF flow data, on-chain supply concentration, and public exchange inflows as primary metrics for institutional demand. These signals, combined with macro liquidity, will determine if the breakout leads to sustained momentum toward $150K–$200K in Q4.

Frequently Asked Questions

How likely is Bitcoin to reach $116,000 next?

Maintaining support above $110,000 keeps a clear path to $116,000; confirmation requires sustained volume and absence of significant ETF outflows. Analysts mark that level as the immediate technical objective if buyers remain active.

Could Bitcoin retest the CME gap near $94K–$103K?

Yes. The CME gap between $94,000 and $103,000 represents a plausible retracement target if momentum falters. Traders often monitor these gaps for short-term pullbacks before any larger trend continuation.

Key Takeaways

• Breakout confirmed: Bitcoin cleared a falling wedge, making $110,000 a key support and $116,000 the next target.
• Macro divergence: BTC/Gold ratio (~36.54) and gold at ~$3,500 are important context for directional bias.
• Risk management: Watch ETF flows, seasonal weakness, and the CME gap; use on-chain whale signals to size positions.

Conclusion

This technical update shows a validated Bitcoin wedge breakout with $110,000 now a pivot for continuation toward $116,000. Market participants should track BTC/Gold divergence, whale accumulation, and institutional flow data before positioning for Q4 targets. COINOTAG will monitor developments and publish updates as new data arrives.