Is Bitcoin Bottoming At Last? BTC Chart Reveals $123K Price Target

Bitcoin (BTC) may be approaching a long-term bottom as its weekly chart combines two bullish reversal signals: a falling wedge and a positive divergence between price and the relative strength index (RSI).

BTC was trading near $65,970 on July 22 after rebounding from the wedge’s lower boundary. The setup suggests Bitcoin’s correction may be losing momentum, although confirmation is still missing.

Bitcoin Falling Wedge Targets $123,000

Bitcoin has traded inside a falling wedge since peaking near $123,000 in the second half of 2025.

A falling wedge forms when price declines between two converging trendlines. The narrowing range often indicates that sellers are losing control.

Bitcoin’s weekly chart shows lower highs near $120,000, $95,000 and $80,000, while its downside moves have become smaller. BTC recently bounced from the $56,000–$59,000 region, where the wedge’s lower trendline provided support.

The first resistance zone sits around $68,800–$70,100, marked by the 200-week and 20-week exponential moving averages. The wedge’s upper trendline appears slightly higher, near $72,000–$75,000.

A decisive weekly close above that boundary would confirm a breakout and improve the odds of a rally toward $95,200. Bitcoin would then need to reclaim the 50-week and 100-week EMAs near $79,000–$80,000.

The wedge’s maximum height is roughly $50,000. Adding that distance to a breakout near $72,000–$75,000 produces a measured target around $123,000, about 85% above current prices.

Weekly RSI Divergence Supports a Bottom

The falling wedge is appearing alongside a bullish divergence on Bitcoin’s weekly RSI.

A bullish divergence occurs when price forms a lower low while RSI forms a higher low. It suggests that price is still falling, but the momentum behind the decline is weakening.

Bitcoin recently dropped below its previous local low, yet the weekly RSI stayed above its earlier trough near the oversold zone. Sellers pushed BTC lower without producing a matching low in momentum.

The RSI has since recovered to around 41.5. It remains below the neutral 50 level, but the higher low supports the possibility that Bitcoin is building a macro bottom.

BTC Bottom is Not Confirmed

BTC is still below all four major weekly EMAs shown on the chart, making the $68,800–$80,000 region resistance.

A rejection could send Bitcoin back toward $57,000–$59,000. A decisive weekly close below $55,000–$57,000 would invalidate the wedge and expose the $51,000 area.