Bitcoin Price Faces Critical Wedge Chart Pattern – Will $94,000 Hold the Line?

The broadening wedge chart pattern has dominated Bitcoin’s technical picture for weeks now, and traders are laser-focused on what happens next. At current levels near $88,560, BTC sits at a critical juncture. The wedge structure—characterized by diverging upper and lower trend lines—is now so tight that we’re about to see a decisive move in one direction or the other. History suggests that when the wedge finally breaks, the resulting momentum could be substantial.

Traders defending key support levels last week proved they’re not ready to surrender to the bears just yet. But patience is wearing thin as we head into the end of January. The real test comes this week: can bulls maintain their ground and start grinding higher, or will the bears finally force a breakdown?

Current Chart Setup: Broadening Wedge Holds the Key

The broadening wedge pattern visible on the weekly chart tells an interesting story. Unlike a narrowing consolidation, this expanding volatility structure with higher highs and lower lows reflects market uncertainty at every turn. The lower trend line of the wedge has been tested multiple times over recent weeks, and bulls have defended it consistently.

However, here’s what makes the current chart setup critical: the wedge is now compressed enough that any failure to push higher this coming week could signal a shift in momentum. If Bitcoin can’t establish closes above the lower trend line of the expanding pattern, the next leg down could grind all the way to the low $70,000 range—a 16% drop from current levels.

The technical picture is binary: either the bulls establish dominance through the wedge by pushing into new resistance, or the bears crack the support and market structure deteriorates quickly. There’s no comfortable middle ground on this chart right now.

Multi-Tier Resistance Map: From $91,400 to $108,000

For bulls looking to make a real statement this week, the resistance ladder starts at $91,400—just $2,840 above current price. A break through here sets up the next critical level at $94,000, which several analysts identify as the first major psychological target for sustained momentum.

Above $94,000, very robust resistance emerges at $98,000. The next significant resistance zone extends from $101,000 all the way up to $108,000—a thick resistance cluster that should be expected to repel the price, at least initially. If Bitcoin manages a weekly close above $108,000, that would raise serious questions about whether the long-term top is actually in place. At that level, the bull case becomes much harder to argue against.

The optionality here is important: there are substantial long-dated Bitcoin options expiring on December 26th with a max pain price of $100,000. This creates a natural incentive for price action to gravitate toward that level during the coming weeks—a technical phenomenon worth monitoring closely.

Support Defense: $84,000 Zone Under Pressure

The flip side of the resistance story is where support lies if bulls stumble. The $84,000 level has proven resilient over multiple tests, holding firm again last week. But the market structure suggests if $84,000 gives way, there’s no comfortable resting place until the $72,000 to $68,000 zone—a 19% drop from the $84,000 support level.

If the price breaks below $68,000, the slow grind lower would likely continue all the way down to the 0.618 Fibonacci retracement at $57,000. That level represents a “capitulation zone” where institutional accumulation often resurfaces. Traders using the chart to plan stops should be aware of these layered support levels—each layer is progressively weaker the lower you go.

The Grind Towards $100,000: Options Expiry Catalyst

Short-term market liquidity heading into late January will be subdued, which typically means choppy, directional price action without clear trending days. But that doesn’t mean nothing happens. The large options expiry with a $100,000 max pain suggests price will likely try to work toward that level over the next couple of weeks.

This creates an interesting dynamic: bulls want to grind higher to make the options bet favorably skewed toward them, while bears try to keep price contained. The result could be a slow squeeze higher, with multiple attempts to establish a new weekly high before reaching the $100,000 zone.

The current market mood remains bearish-leaning, even with bulls pushing back slightly. To convince the skeptics, bulls need positive price action—ideally a series of higher closes on the weekly chart that establish a new uptrend within the wedge.

Week-by-Week Momentum: Breaking $94K Means More Upside

If bulls can finally crack the $94,000 resistance level over the next couple of weeks, the technical picture shifts dramatically. A weekly close above $94,000 opens the door to a move toward $101,000, with $100,000 serving as both a psychological magnet and an options-driven target.

From $101,000, momentum could continue pushing toward $108,000 if buyers maintain intensity and a close establishes above $100,000. However, resistance becomes extremely heavy near the $101,000-$108,000 zone. A strong rejection should be expected if price reaches that level—this is where institutional profit-taking typically overwhelms retail FOMO buying.

The path forward depends entirely on what happens with the current wedge chart setup. Either the pattern validates with an upside breakout, or it reverses with a breakdown. There’s very little chance of a boring sideways consolidation; the expanding volatility structure demands resolution soon. Traders using technical analysis should be prepared for volatility to spike once the wedge finally makes its choice.

The next critical date is this week. If support holds and bulls can grind toward $91,400+, the setup improves. If support breaks, the bear case re-establishes with force.