Bitcoin Price Analysis: Could BTC Surpass $100,000 Soon?
Bitcoin’s price has increased by 6.9% since the start of 2025, retesting $99.3k and reducing fears of dropping below $90k. The fear and greed index reached 76%, but interest in $110k predictions has decreased. A potential head and shoulders pattern is forming amid ongoing bullish sentiment, driven by factors such as declining supply and increasing BTC Futures Open Interest, suggesting a possible price surge beyond $100k.
Bitcoin (BTC) experienced a noteworthy price increase of approximately 6.9 percent since the commencement of 2025, reaching a crucial resistance level of $99,300 during the early trading session on January 6 in New York. This uptick has alleviated concerns regarding a potential decline in Bitcoin’s value below the $90k mark. Additionally, the fear and greed index for Bitcoin has surged to a significant 76 percent, indicating a state of extreme investor greed. However, interest in pushing Bitcoin’s price to $110k has diminished in recent weeks, leading to a prevailing sense of quiet anticipation in the market for definitive directional guidance.
Despite the recent rebound, Bitcoin’s price trajectory on the daily timeframe suggests the formation of a potential midterm reversal pattern, characterized by a head and shoulders (H&S) configuration in conjunction with a bearish divergence seen on the Relative Strength Index (RSI). Nevertheless, Bitcoin has maintained its position above the 50-day Moving Average, indicating that bullish sentiment is gradually taking hold. A remarkable rally could see Bitcoin surpass the $100k threshold if it consistently maintains trading above the critical resistance level of $99,300, marking the onset of the next bull phase.
The cryptocurrency market is gaining bullish momentum, particularly in light of Donald Trump’s impending inauguration for a second term. Concurrently, the total BTC Futures Open Interest has risen by over 13 percent in the last 24 hours, nearing $63.3 billion. Furthermore, the supply of Bitcoin on centralized exchanges has dwindled to approximately 2.21 million, signaling that the macro bullish trend for BTC remains intact.
The recent movements in Bitcoin’s price reflect broader market trends and investor sentiment in the cryptocurrency sector. Following fluctuations in investor enthusiasm, the fear and greed index serves as an important barometer of market psychology. Investors are particularly attentive to significant price levels, such as $100k, which has historically influenced buying and selling behavior. Additionally, external political factors, including Trump’s governance, may affect market dynamics, leading investors to speculate on future price trajectories. Notably, open interest in Bitcoin futures has become an important metric indicating growing market interest and potential volatility.
In summary, Bitcoin’s recent price increase has shifted market sentiment, reducing fears of a decline below $90k and indicating a potential bullish phase ahead. However, technical indicators suggest caution; the formation of a head and shoulders pattern and bearish divergence on the RSI warrant careful monitoring. With key resistance levels to break and a backdrop of increasing futures interest, Bitcoin price movements will remain a closely watched indicator in the cryptocurrency market, presenting both challenges and opportunities for investors.
Original Source: coinpedia.org
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