Bitcoin Surpasses $100,000 - What's Next?

Bitcoin has surpassed the psychological $100,000 mark, marking a historic milestone for the cryptocurrency market. In our previous analysis, we anticipated the price slowdown and outlined potential scenarios leading up to this event.

Now that this prediction has been realized, we present an updated outlook to help traders and investors navigate the market effectively.

4-hour time frame analysis

BTCUSD - 4 Hour Time Frame

The hesitation in Bitcoin’s price before breaking the $100,000 barrier was driven by a fundamental market principle. At all-time highs (ATH), there are no existing Buy-Side Liquidity levels on the chart to pair large-scale buy orders with sell orders.

To resolve this, the market created an apparent resistance zone, leading speculators to open sell positions as the price respected this level. This temporary slowdown was essential for building the conditions required for the breakout.

Corrections are a natural part of any market cycle, and Bitcoin will inevitably experience a bearish retracement at some point. However, successful trading requires patience and confirmation. Attempting to predict a trend reversal without sufficient evidence is risky, especially given Bitcoin’s current price dynamics.

Bitcoin price target

Bitcoin’s recent price action has closed above a higher high, forming a new higher low. This market structure suggests that the price may retrace to the next higher support zone (highlighted in blue on the chart). At this level, traders might consider entering the market with a reduced position size, as the setup is not yet fully confirmed.

A more substantial position can be established if the price decisively breaks above the key resistance zone on the daily or four-hour timeframe. Such a move would indicate a higher likelihood of the correction ending and the bullish trend continuing.

Many traders fall into the trap of assuming, "It's too high; it must fall!" However, as emphasized earlier, successful trading requires confirmation.

A deeper correction would be confirmed if Bitcoin’s price closes below the lower support zone (highlighted in blue) on the four-hour timeframe. Until this happens, selling positions remain speculative and carry significant risk.

Will Bitcoin reach $200,000 in 2025?

Bitcoin’s journey past the $100,000 mark demonstrates the strength of its bullish momentum. Traders should remain patient and focus on market structures, waiting for confirmation before making moves.

Whether entering new positions or anticipating corrections, disciplined trading strategies will be essential. Let the trend and market conditions guide your decisions as Bitcoin navigates this new phase.