After losing a third of its value in the first half of 2026, Bitcoin (BTCUSD) has rallied 5% to kick off July, boosted by dovish remarks from Federal Reserve officials. The pioneer cryptocurrency’s push back above the closely-watched $60K level also likely accelerated short-term momentum, with over $500 million in short positions liquidated in recent trading sessions.
Taking a closer look at the technicals, Bitcoin has found solid buying interest near the lower trendline of a multi-month falling wedge pattern, raising to prospect of of further buying. It’s worth pointing out that as the cryptocurrency’s price plumbed a recent new low, the RSI made a higher low to form a bullish divergence, a technical signal indicating weakening selling pressure.
If Bitcoin’s price moves higher from here, look for a possible rally toward $74,000. This area on the chart would likely mark a crucial confluence resistance area near the falling wedge pattern’s top trendline, the twin March peaks and the downward sloping 200 MA.