Bitcoin has seen a significant rally, rising from a local low of $92,000 to a recent high of $98,950. This strong move has reignited enthusiasm among investors and analysts, who are keeping a close eye on the market leader’s next big price move. Despite concerns of potential overheating after such a rapid rise, Bitcoin’s market structure continues to show resilience.
Top analyst Axel Adler recently shared his analysis on X, emphasizing that Bitcoin’s bullish market structure remains intact. Adler noted that even after this impressive rally, there are no clear signs that the market will overheat. This suggests that BTC has room to grow further without encountering too much selling pressure. Current trends are consistent with broader optimism as cryptocurrency markets begin the year with renewed strength.
As BTC approaches the psychological $100,000 level, the market is buzzing with speculation as to whether it can maintain this momentum or whether a period of collapse is imminent. While the bullish outlook prevails, investors are also keeping an eye on key support levels to ensure the bull market’s foundation remains strong. The trajectory of Bitcoin, which will continue to lead the cryptocurrency market until 2025, could be determined in the coming days.
Bitcoin indicators inspire optimism
Bitcoin has shown notable strength in recent days and remains firmly above key demand levels, indicating it is poised for a big move. After testing the key support near $92,000, BTC surged towards $98,950, instilling confidence among investors and analysts. The market is currently looking forward to the next stage of Bitcoin’s journey, and sentiment is becoming increasingly bullish.
Adler recently shared an insightful chart on X that comprehensively shows Bitcoin’s current market structure. Adler said the market remains fundamentally bullish, with no indicators suggesting it is overheating. While this stable framework supports the potential for further upside, Adler points out that a key element is still missing: sufficient trading volume.
Bitcoin Adjusted MVRV Bull Market Structure | Source: Axel Adler of X
Adler emphasized that trading activity typically slows during the holiday season, which could explain the current volume lag. As the market shakes off its seasonal stagnation, the true momentum behind Bitcoin’s price movements will become clearer. Whether the current bull market develops into a strong breakout or settles into a consolidation will largely depend on how quickly volume recovers in the coming days.
The next few weeks will be pivotal for BTC. A clean break above the psychological $100,000 level could signal the beginning of a new bullish impulse, but failure to recover this level could lead to an extended hold. All eyes are now on Bitcoin, which could be one of the trends that will define this year.
BTC is about to exceed $100,000
Bitcoin is trying to regain the $100,000 mark, an important psychological and technical level that could trigger a massive rally. The market leader showed resilience by holding the $92,000 level as strong support, a key zone that reinforced bullish sentiment during the recent pullback. Currently, BTC is testing the supply area and finding the necessary liquidity to prepare for the next move.
BTC poised to cross $100,000 | Source: BTCUSDT chart on TradingView
The $100,000 level acts as a gateway into uncharted territory, and a break above it is likely to attract new buying interest from both retail and institutional investors. A successful breakout above this mark could result in a parabolic rise in BTC to new all-time highs.
However, caution is advised as the overall market is still in an undefined stage. Although current price action suggests strength, BTC could enter a sideways consolidation period. Such a scenario can reset the market and build momentum for the next rally.
Featured image from Dall-E, chart from TradingView
Source: https://bitcoinist.com/bitcoin-remains-bullish-but-lacks-volume-for-strong-impulse-as-post-holiday-recovery-awaits/
