The bitcoin mining machinecryptocurrency market witnessed Bitcoin achieving another milestone as it broke through the $118,500 barrier. After reaching unprecedented levels above $120,000, the digital asset has entered a phase of price consolidation.

• BTC established fresh ground above the psychological $120,000 threshold

• Current trading activity hovers around $118,500 near the 100-hour moving average

• A significant trendline support at $119,800 was breached on BTC/USD charts

• Market observers eye the $120,500 level as crucial for continuation of upward momentum

Historic Milestone Reached

The latest bullish wave gained traction after Bitcoin successfully overcame the $116,500 resistance area. Subsequent breakthroughs past $118,000 and $120,000 demonstrated strong market conviction.

Buying pressure intensified enough to push prices beyond $122,000, culminating in a new peak at $123,140. The current market phase shows profit-taking activity, with prices retracing below the 23.6% Fibonacci level measured from the recent swing low at $108,636 to the record high.

The breakdown of an established trendline at $119,800 suggests potential short-term weakness. Present trading levels near $118,500 coincide with the 100-hour simple moving average, creating an interesting technical confluence.

Market participants are closely monitoring the $119,550 level as immediate overhead resistance. A decisive move past $120,500 could reignite bullish momentum, with subsequent targets at $122,000 and potentially $123,200. Beyond these levels, the $125,000 and $130,000 marks emerge as longer-term objectives.

Potential Correction Scenario

Failure to reclaim the $120,500 zone might trigger deeper retracement. Initial support appears near $117,500, with more substantial buying interest expected around $115,800 (50% Fibonacci retracement level).

Additional downside protection exists at $114,000, while a breach of $112,500 could accelerate selling pressure. The ultimate safety net for bulls remains at $110,500, below which more significant declines might materialize.

Technical indicators:

• MACD shows weakening bullish momentum on hourly charts

• RSI readings currently below 50 suggest neutral to bearish short-term conditions

• Critical support zones: $117,500 and $115,800

• Key resistance areas: $120,500 followed by $122,000