Bitcoin price is poised to cross the $95,000 threshold. Analysts are optimistic about the $106,000 level. The cryptocurrency’s bullish momentum is bolstered by technical factors. Renewed market sentiment driven by Donald Trump’s pro-crypto policies aids BTC’s recent run.
Nevertheless, traders continue to be cautious, watching out for pullback zones at $85k and $81k before the next leg up.
Bitcoin Price Analysis: Strong Uptrend With Resistance Ahead
Bitcoin’s daily chart signals an upward trajectory marked by higher highs and lows, eventually driving Bitcoin to the $93,509 mark The cryptocurrency has been trading above the ascending trendlines providing support during pullbacks.
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Current consolidation at the top of the trend may indicate some uncertainty due to higher price volatility at the $95,000 resistance level.
The Relative Strength Index (RSI) is at 74.38, pointing to overbought territory and increasing the chance of retracement or consolidation.
As long as the uptrend continues, analysts advise caution as RSI slows down suggesting waning bullish strength. Thus, the breakout above $95,000 may pave the way for further price increases toward the $100,000 mark and beyond.
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If it does not consolidate the present progress, downside barriers are at $85,000 or $81,000. These levels are regarded as entry points for conservative traders to buy. Meanwhile, the short-term trends remain generally bullish. However, traders are also focusing on the increased volume to confirm an additional upward move.
BTC_JackSparrow’s Insights: Rally or Pullback?
The following are two short-term trades described by analyst BTC_JackSparrow.
In the bearish case, the price may fail to rise above $95,000, suggesting a pullback to accumulate more liquidity at $85,000 or $81,000. This would create conditions for the market to strengthen before a better attempt to cross the $100,000 mark is made.
Bitcoin might go directly to the $106,000-$108,000 range provided the momentum remains high. However, the analyst cautions traders to wait until a higher level of direction is established to avoid holding large open positions during periods of unsustainable prices.
For conservative traders, entering the market at around $85,000 or $81,000 provides the best buying opportunity as it enables them to ride the next BTC rally.
Trump’s Crypto Push Adds Optimism
Donald Trump’s unexpected embrace of cryptocurrencies has injected fresh enthusiasm into Bitcoin’s rally.
His 2024 campaign includes policies aimed at establishing a strategic Bitcoin reserve, signaling a major shift in his stance on digital assets. This pro-crypto platform aligns with Trump’s broader vision of making the U.S. a global leader in blockchain innovation.
Trump’s initiatives include the launch of World Liberty Financial, a venture focused on digital asset trading and blockchain development. His active engagement in blockchain conferences and advocacy for favorable regulations has bolstered confidence among investors.
Market participants see these moves as pivotal for fostering a more welcoming regulatory environment for cryptocurrencies.
This shift in sentiment has added a tailwind to Bitcoin’s price action, reinforcing its long-term growth narrative. Analysts believe Trump’s policies, coupled with technical strength, could drive Bitcoin’s rally toward its ambitious $106,000 target.
Source: https://www.thecoinrepublic.com/2024/11/20/bitcoin-price-eyes-106k-target-amid-trumps-crypto-boost/