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Bitcoin delighted investors with a rally on Christmas Eve, rising from $92,300 to an intraday high of $99,400. The rapid rise reignited bullish sentiment as the price managed to hold a critical demand level, signaling strength and positioning BTC to challenge the $100,000 psychological level. Market participants are now closely watching Bitcoin’s next move, and expect the momentum to continue in the coming days.
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Senior Analyst Karl Rohnfelt shared a compelling technical analysis on X, highlighting Bitcoin forming a symmetrical triangle on the hourly time frame. This pattern often indicates a period of consolidation before a major breakout occurs, and Runefelt believes BTC is on the verge of such a move. A confirmed break above this triangle could push Bitcoin into price discovery, unlocking further gains and representing a pivotal moment in the current market cycle.
With strong demand levels providing support and technical patterns consistent with a potential breakout, Bitcoin’s path to $100,000 looks clearer than ever. However, traders remain cautious as volatility may play a role in the short term. All eyes are on the leading cryptocurrency as it enters a critical phase, as investors eagerly await confirmation of a new phase in its historic bull run.
Bitcoin looks ready to rise again
Bitcoin appears set for another rally towards price discovery, maintaining a bullish structure after maintaining critical demand levels. This resilience underscores the market’s confidence in BTC’s ability to reclaim the $100,000 mark and move higher, with both analysts and investors closely watching the price action for confirmation.
Senior analyst Carl Rohnfeldt recently Share insightful technical analysis on Xhighlighting the symmetrical triangle pattern on the hourly chart of Bitcoin. Symmetrical triangles often indicate a period of consolidation before a breakout, and Runefelt indicates that BTC is on the verge of an upward breakout.
He also set $100,700 as a key level; Crossing it would indicate strong bullish momentum, which could push Bitcoin to all-time highs. Conversely, he warned that a decline to $95,200 would signal weakness, indicating a bearish shift in the short term.
Runefelt’s analysis is in line with market sentiment, as many traders view Bitcoin’s current consolidation as a precursor to a significant upward move. If BTC confirms a breakout above the triangle, it could trigger a surge in buying activity, pushing the price into uncharted territory. However, failure to maintain momentum above critical levels could lead to increased volatility, challenging Bitcoin’s bullish outlook.
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For now, the leading cryptocurrency remains flat, with all eyes focused on the $100,700 pivotal level. If Bitcoin succeeds in breaking this resistance, it could ignite the next phase of its rise, confirming its position as a dominant force in the cryptocurrency market.
Price Action: Key Levels to Watch
Bitcoin is currently trading at $98,400, which represents a significant 7% rise from its recent local lows of $92,000. This rebound highlights renewed bullish momentum, with the price reclaiming the crucial 4-hour 200 EMA, a leading indicator of short-term strength. BTC now faces a major hurdle as it attempts to break above the 4-hour 200 MA, which is located at $98,470.
A retracement of the 200 EMA would confirm Bitcoin’s bullish trajectory, which could ignite strong buying activity to push the price above the psychological level of $100,000. A break of this level would not only boost market confidence, but could also lead to further upward momentum, pushing Bitcoin to all-time highs.
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On the flip side, failure to reclaim the 200 MA could see Bitcoin consolidate below $100,000. This will likely lead to a period of sideways price movement, as traders wait for new catalysts to determine the next move.
Featured image by Dall-E, chart from TradingView