BTC Holding Below $100k
Following a spike higher during the Asian session overnight, Bitcoin prices have since reversed lower. BTC futures are trading in the red as we head towards the US open following strong selling through the European morning. We’ve seen plenty of BTC volatility recently as choppy flows persist around the $100k mark. Last week, a breakout to fresh, record highs around the $105k mark found strong selling interest with BTC almost immediately reversing back below $100k.
BTC Volatility Continues
Volatility around this historic level was always to be expected and while there is certainly room for BTC to correct deeper near-term, the broader market outlook remains firmly bullish for BTC as traders look ahead to Trump taking office next month. Easier regulatory conditions under Trump and expectations of a wide mainstream uptake of BTC and other digital assets have been cited as key bullish drivers for early 2025.
Long-Term BTC Holders Selling
Near-term, however, volatility can continue. In a note published today, the crypto news and analytics group Coin Telegraph note that long term holders of BTC have been selling heavily into this recent peak. Selling at current volume has typically correlated with a top in the market, suggesting potential for a deeper move lower ahead of year end before we resume the bull run. As such, traders should be wary of price action around current levels looking to buy into a pullback deeper or a fresh break of highs.
Technical Views
BTC
The rally in BTC has stalled for now into the $105k mark with price since reversing back under $100k. While still above the bull trend line and $97,475 level, focus is on a continuation higher and a test of the 4107,85 level next. If we break below here, however, $93,580 is the next support level to watch.
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