Bitcoin Rally To Continue If This Level Holds, Is $110,000 The Next Stop?
After surpassing its $100,000 milestone, Bitcoin (BTC) recorded its largest retrace in the past month before recovering. Amid the flagship cryptos performance, some analysts have suggested the levels to watch and the next stops for BTCs rally.
Bitcoin Rally To Continue Above $100,000
On Thursday, Bitcoin hit its latest all-time high (ATH) of $103,600 in an 8% daily jump. The largest cryptocurrency by market capitalization broke out of a one-month bullish pennant and smashed past the $100,000 barrier for the first time in history.
After the impressive surge, BTC retraced to the $98,000 mark before briefly plummeting to the $90,000 support zone. This 13% correction marks the largest drip for the flagship cryptocurrency since the post-election rally started a month ago and triggered around $1 billion in liquidations, its largest since August.
Nonetheless, Bitcoin quickly recovered the $97,000-$98,000 price range, followed by a retest of the previous ATH levels around $99,000 on Friday morning. Renowned crypto analyst Ali Martinez noted that BTCs rally seemingly depends on a key support level.
Martinez revealed the most significant support zone for Bitcoin was the $96,870 mark, where over 1.45 million addresses bought 1.42 million BTC. The analyst explained, As long as this demand zone holds, there is a good probability that BTC will continue marching higher.
Moreover, he highlighted that the local Bitcoin top is not in yet, as these are usually reached around the Short-Term Holder Cost Basis +1 standard deviation. Per the analysts chart, this level stood at $112,926 at the time of the report, suggesting that BTC could jump another 13% before seeing the first major retrace.
Will BTC Repeat Its 2017 Move?
Crypto analyst Jelle pointed out that Bitcoin is still following the Q4 2023 fractal closely despite the dip. He suggested that now that the flagship crypto took out the liquidity on both sides, it would start pushing back to the $100,000 milestone.
Jelle suggested that BTC would range until Christmas, when he forecasts the true breakout will happen if it continues following last years steps. Additionally, he noted that yesterdays $100,000 candle resembles BTCs candle when it first surpassed the $10,000 mark.
In November 2017, Bitcoin rallied to $10,000 for the first time, hitting the $11,000 range before plummeting to $8,500. The following day, the largest crypto saw its price recover from the correction and retest the $10,000 barrier, finally turning it into support on the third day.
After that, Bitcoin rallied around 90% in the next few weeks to the $19,000 2017 ATH. Based on this, the analyst suggests that the recent price volatility is totally normal and will push higher soon if it repeats history.
After the recovery, BTC successfully retested the bullish pennant, setting the stage for a six-figure price once and for all, Jelle stated, with the liftoff targeting the $130,000 level.
As of this writing, the flagship crypto trades at $101,050, a 4.7% increase on the weekly timeframe.
Text source: NewsBTC
