Bitcoin is once again knocking on the door of a new all-time high, trading at $120,321 as of Monday. However, technical analysts are eyeing a potential short-term reversal due to a newly formed CME futures gap near $119,000.
The Chicago Mercantile Exchange (CME) bitcoin futures — which settle in cash and do not trade over the weekend — closed at $117,430 on Friday and reopened at $119,000 on Monday morning. This price difference created what’s known as a “CME gap”—an unfilled zone in the market that Bitcoin has historically retraced to close.
“Most gaps historically close within the same day,” noted trader Daan Crypto Trades on X. “But this one has pushed farther than the typical gap before doing so.”
Unlike 24/7 spot markets, CME’s futures are paused for one hour daily and remain closed over weekends. Price movements during these windows often result in gaps, which many traders treat as potential targets for future corrections.
Despite this technical overhang, Bitcoin remains in a bullish price discovery phase, where momentum can override historical norms. In such scenarios, gaps can remain unfilled—known as “runaway gaps”—as strong buying pushes the market higher.
“If Bitcoin pulls back below $120K, the $119K region could act as a magnet,” Daan added. “But unless it trades closer, I wouldn’t expect the gap to fill immediately.”
As U.S. markets open, traders are watching to see if Bitcoin dips to fill the gap or breaks decisively above $123,000 into uncharted territory.
