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Crypto Potato 2025-01-19 16:47:30

Bitcoin Price Analysis: Is BTC Ready for a New All-Time High Above $108K?

Bitcoin’s $90K support region has demonstrated its strength, sparking a notable bullish surge. The price is now nearing its all-time high of $108K, where a breakout could ignite a short liquidation cascade, potentially pushing the asset into uncharted territory. Technical Analysis By Shayan The Daily Chart The $90K support zone has proven to be a robust floor, holding the price steady in recent months and showcasing strong buyer confidence. This resurgence of buying interest has driven Bitcoin above the channel’s middle trendline, positioning it close to the ATH at $108K. That peak level represents a substantial resistance region with concentrated supply and heightened selling pressure. As Bitcoin approaches this critical threshold, short-term volatility is expected due to the ongoing battle between buyers and sellers. If bullish momentum continues, reclaiming the ATH at $108K could trigger a short liquidation cascade, likely resulting in another surge as market participants rush to cover positions. The 4-Hour Chart The lower timeframe highlights the importance of the $90K support, which has consistently halted downward momentum in recent months. This has fueled an impulsive bullish move, driving Bitcoin toward the $108K resistance zone. This region not only represents Bitcoin’s ATH but also aligns with the ascending channel’s middle boundary, further reinforcing it as a critical juncture. A successful breakout and consolidation above this level could pave the way for a sustained rally toward new highs. The upcoming price action at the $108K resistance region will be crucial in determining Bitcoin’s next trend, with heightened volatility expected in the short term. On-chain Analysis By Shayan The realized price of UTXO age bands, particularly for the 1-3 month cohort, offers critical insights into short-term holding behavior and broader market sentiment. This metric represents the average acquisition price for recent buyers, acting as a dynamic support or resistance line that reflects market confidence. When Bitcoin is above this short-term cohort’s realized price, it signals growing bullish momentum. This indicates that new buyers are confident in holding their positions, even at elevated price levels. Conversely, a drop below this threshold suggests a heightened risk of sell-offs, as these participants face unrealized losses. Recently, the realized price for the 1-3 month UTXO cohort at the $90K region has acted as a crucial support level, pushing the asset up toward its ATH. Bitcoin holding above this level signals a bullish sentiment in the market, with the potential for the price to continue its upward trajectory. However, if the cryptocurrency breaks below this dynamic support line, market sentiment could shift to a fearful state, increasing the likelihood of a distribution phase. The post Bitcoin Price Analysis: Is BTC Ready for a New All-Time High Above $108K? appeared first on CryptoPotato .

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