Bitcoin (BTC) Price Analysis (Jul 22, 2025): Consolidation Continues, But Breakout Still on the Table

Bitcoin is currently holding steady around the $118,500 level and continues to show bullish signs on the lower timeframes. As highlighted in our last update, some consolidation was expected, especially with attention shifting toward altcoins. That still seems to be the case. But at the same time, Bitcoin is forming a bullish pennant, which often points to a potential breakout. If the price manages to break above this structure with solid volume, it could open the door for another leg up. Let’s dive into the charts to see how things are shaping up in the short term.

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Analyzing the Charts

On the 1-hour chart, Bitcoin has printed a series of strong green candles, showing clear upward momentum. Price is once again approaching the $120,000 resistance level, a key zone that has held firm in recent attempts. How Bitcoin reacts here will be crucial in determining whether the bullish pennant plays out or loses steam.

On the 4-hour chart, the bullish pennant structure stands out more clearly. Price is now pressing against the upper boundary of the pattern, and a breakout looks increasingly likely in the coming hours.

If this setup plays out, the Bitcoin price prediction targets a retest of the $120,000 level, with $135,000 as the next major zone if momentum persists. This move might also cause some altcoins to consolidate or correct in the short term.

Looking at Bitcoin’s market dominance chart, there's a noticeable shift as dominance begins to climb again. This uptick suggests Bitcoin is regaining strength relative to altcoins. If this trend continues, it could signal a pause in the altcoin rally and open the door for Bitcoin to make another move higher.

Final Takeaway: What is Next for Bitcoin (BTC)?

Bitcoin is trading near $118,500 and showing strength on the lower timeframes. The bullish pennant forming on the charts could lead to another leg up if the breakout holds. Resistance at $120,000 remains a key level to watch, and a clean break above it might push the price toward $134,000. Momentum is building, and if dominance continues to rise, Bitcoin could take the lead again while altcoins slow down.