Bitcoin is currently trading near the lower end of its recent trading range, experiencing rejection at the $114,500 mark. Market participants are closely monitoring the support level around $108,000 to see if it can hold as the price continues to move within this familiar range.
Bitcoin Trades Within a Defined Range
The cryptocurrency has settled into a sideways pattern, with buying interest observed near $108,000 and sellers consistently capping upward movements at $114,500. On the weekly chart, the price is currently positioned near $108,136 following the rejection from the upper boundary of the range. Analyst Rekt Capital suggested that the current price drop might still lead to the formation of a higher low. He posted on X:
Looks like $114.5k is resistance for the moment but this current rejection has scope to develop a new Higher Low on the Daily
Overall, price continues to maintain the $108-$114.5k portion of its current Range$BTC#Crypto#Bitcoinhttps://t.co/vya6ansSJBpic.twitter.com/DqrQFCbHlP
— Rekt Capital (@rektcapital) October 22, 2025
Rekt Capital also noted that Bitcoin is retesting previous monthly levels that had previously acted as resistance in September, and these levels could now potentially serve as support. Despite the recent downturn, the overall market structure has not deteriorated and remains consistent with broader consolidation patterns.
Inverted Hammer Appears Near Weekly Gap
On the weekly chart, a potential inverted hammer candlestick pattern has formed, according to analyst GandalfCrypto. This candle is developing just below a price gap that extends from approximately $110,000 to $113,000. The pattern suggests that buyers entered the market after initial selling pressure earlier in the week, although confirmation of this trend depends on the final closing price of the candle.
GandalfCrypto explained the significance of this formation:
“If price begins filling that gap next week, it could mark a shift in momentum.”
A sustained close above the current price level could indicate a return of buyer interest. Conversely, a failure to hold this support might lead to continued sideways movement near the lower range boundaries.
On shorter timeframes, market momentum remains mixed. Daan Crypto Trades observed that Bitcoin's recent attempt to reclaim the 4-hour 200 Moving Average (MA) and Exponential Moving Average (EMA) was unsuccessful, leading to a price drop back to the daily 200 MA and the $107,000 area. He stated:
“If this wants to flip this low to mid timeframe downtrend around, it’s key to retake that 4H trend.”
Lennaert Snyder is considering $107,260 as a potential entry point following a bounce. He also noted that $105,600 could be a valid level if support is confirmed there. Snyder further commented:
“Losing $105,600 triggers continuation shorts to below the crash wick.”
Market Eyes ETFs and Economic Data
In broader market developments, CryptoPotato reported that significant Bitcoin holders are transferring assets into spot Exchange-Traded Funds (ETFs), granting them access to traditional financial platforms. These asset swaps are structured to be tax-neutral, thereby avoiding the triggering of taxable events.
Concurrently, traders are paying close attention to low derivatives activity and the forthcoming release of US inflation data. This economic indicator is expected to potentially increase market volatility in the upcoming trading sessions.