Bitcoin Price Must Breach This Level to Hit a New High, Analyst Predicts

Key Insights:

• Bitcoin price jumped 2% and traded near the $114k level amid a broader market rally.
• An analyst said that BTC must break through $118k to hit a new ATH.
• The US Spot Bitcoin ETF has recorded a weekly outflow of $1.17 billion.

Bitcoin price has recorded a robust rally today, soaring from $112k, but failed to breach the brief $118k level.

This has fueled discussions among market participants and experts about whether BTC can touch a new high anytime soon or will be consolidating in this range.

Notably, the current recovery in BTC price comes as Fed Chair Jerome Powell hinted at a potential rate cut in September.

This has bolstered market confidence, triggering a surge in the broader financial sector, let alone the crypto market.

Meanwhile, the lower interest rate often boosts market sentiment, as it increases liquidity and reduces borrowing costs.

This makes riskier assets more attractive to traders, often driving up demand and prices for stocks and digital currencies.

The optimism from the latest comment of Powell’s Jackson Hole Speech is further evidenced by the rally in the altcoins segment.

Ethereum has neared its ATH and touched a recent high at $4,884 after the event.

Amid this, a top analyst has highlighted a key level for Bitcoin price that the crypto must breach for a continued upward run.

So, here we explore some of the key levels for the flagship crypto and see what may lie ahead for the asset.

Bitcoin Price Soars but Fails to Break This Key Barrier

BTC price stayed in the positive territory today, adding around 2.5% in the daily chart. During writing, Bitcoin price was trading at $114,650.81 after touching a 24-hour high of $117,377.

Notably, the crypto has hit a one-day low of $111,678. Meanwhile, it’s worth noting that the price jump was accompanied by a surge in trading volume to $83.46 billion from yesterday.

This reflects renewed interest from market participants. In addition, Bitcoin Futures Open Interest (OI) also rose around 2% to $82.78 billion.

However, on the CME Exchange, the OI fell about 1.7% to $16.57 billion. Amid this, a top expert said that despite the surge in Bitcoin price, it still faces a crucial resistance level.

According to renowned analyst Ali Martinez, Bitcoin needs to break through the $118,000 level to confirm a trend shift and turn bullish again.

Currently, BTC price has failed to breach this key level, indicating that the bullish momentum is yet to be confirmed.

Martinez’s statement suggests that until Bitcoin surpasses this resistance, the trend remains uncertain.

In other words, failure to breach the $118,000 level may dampen the bullish sentiment and hinder BTC’s run to a new ATH.

Bitcoin ETF Continues Outflow Streak, What’s Next?

Market experts have cited the waning institutional bets as a potential reason behind the stagnant movement of Bitcoin price.

Farside Investors’ data showed that the US Spot Bitcoin ETF has recorded an outflow for six straight days through August 22.

Meanwhile, the weekly outflow into the investment instrument totaled $1.17 billion. This has spooked investors, indicating that the institutions are shifting focus from the flagship crypto to the altcoin segment.

However, despite that, experts have remained bullish on the future trajectory of BTC. In a recent X post, analyst Captain Faibik said that Bitcoin price may $118k if it holds $114k support.

Having said that, it seems that $118k is still on the cards, which might help the asset to hit a new ATH ahead.

Besides, expert CryptoELITES has shared a further bullish projection, predicting a likely surge to $260k in the near future.

He projected BTC to hit $200k but warned of a correction after that. However, after a likely pullback from $200k to $150k, CryptoELITES noted that BTC could continue its run to $260k.