IREN Limited (IREN) Price Forecast: Bullish Momentum Builds After Pullback

Bullish Weekly Reversal Confirms Key Support Zone

IREN Limited (IREN) has positioned itself at the intersection of two major trends: artificial intelligence and digital assets. The company provides Bitcoin mining and AI cloud services and is scheduled to report earnings on February 5. Its stock ended last week with a bullish momentum hammer candle. The bullish pattern successfully tested support with the week’s low of $48.83 near the 10- and 20-week moving averages, and the upper boundary of a rising trend channel. That confirmed the switch from resistance to support. Bullish sentiment was represented on Friday as an outside day and a four-day closing high.

Fibonacci Retracement Establishes Higher Swing Low

Current signs of strength followed a 61.8% Fibonacci retracement that established a higher swing low at $33.34 in December. The subsequent recovery reclaimed the 10-week average last week, with strength confirmed this week, as trading remained above support of the average for the second week in a row. Volume confirmed bullish sentiment as it declined during the correction and improved on the recovery.

Trend Channel Breakout Signals Momentum Acceleration

A notable technical development is the completion of the first pullback following an upside breakout of a rising trend channel three weeks ago. That set the stage for a continuation of strong bullish momentum that began following the $5.13 swing low in March 2025. A shorter trend channel is on the chart showing the acceleration in speed.

Breakout Levels and Fibonacci Upside Targets

A decisive breakout above this week’s high of $58.42 will show strength. But since the high of the recovery is at $58.75, it might provide a more reliable pivot level to signal an upside breakout. If IREN can eventually recover the $76.87 November peak, it has a chance of reaching an initial target of $87.26. That target would complete a 127.2% Fibonacci extension of the recent bearish correction. The second extended target from the same measurement is at $101.86 and marks a 161.8% extension level.

Longer-Term Extension Levels Define Higher Resistance Zones

Resistance at last year’s highs followed the completion of a 261.8% extension of the decline that followed a high for IREN on its first day of trading. Notice that the first high of $74.15 in October was almost an exact hit. This means that a 341.4% extension of the same measure at $93.98, presents another potential upside target.

Near-Term Support Levels and Risk Assessment

The week’s low of $48.83 shows near-term support that is confirmed by the 20-day average, while last week’s low of $48.85 is a more critical level. There is a four-week pattern of higher weekly lows and if that changes, further weakness could follow.