Bitcoin has finally surpassed $100,000. Up 7% in the last three days and 4% today, BTC peaked at $104,630 before returning to $101,132. This gives the crypto community new hope that the bull cycle is still ongoing.
Let’s analyze what is happening in the market and why Bitcoin is rising today.
Bitcoin reached $100,000
The $100,000 mark was a very tough psychological resistance for Bitcoin, which was breached this morning. While we were talking about how new purchases can support and drive up the price, we saw a huge amount of volume coming in to push the price up.
The Fear and Greed index stood at 84 this morning, indicating that the market still has buying potential. The largest crypto needs to strengthen support as there is no moving average available for help in this area.
How High Can Bitcoin Go?
The RSI is currently at 76.41, which indicates that bulls are charging, but it will soon enter the overbought zone and will have to cool down. On the other hand, ADX is at 17.57, which is significantly low but starting to rise. Bitcoin is experiencing heavy volume with a 35% increase in the last 24 hours, most of it in the last hour. BTC has reached a trading volume of almost $100 billion, pushing the market cap of the entire crypto market to $3.69 trillion. of 4.97%. Bitcoin’s market dominance stands at 55.5%, which is relatively low.
There are many factors that pump the power into Bitcoin. According to experts, the most influential part is the pro-crypto president, Donald Trump. Since the US elections, the crypto market has seen a huge boost, with Bitcoin and altcoins adding huge numbers to their prices. The community is feeling relaxed towards crypto as Trump works to bring pro-crypto people into his administration.
Will Bitcoin Crash? What now?
With bitcoin above $100,000, it is very clear that the alt market will soon follow suit. There is no single reason why Bitcoin is rising today, but it is a collective force of multiple factors. BTC is expected to reach $120,000 soon, but the rising RSI points to a cooldown. Moreover, the market tends to benefit from such situations.
People are going in with a ton of trust and greed, which is a good time for the market to win them over. More than $130 million worth of funds were liquidated in the past hour, most of which came from short positions. The market is taking several steps back to retest support. If this fails, the price could plummet in panic. We may also see massive inflows into Bitcoin ETFs, but investors should be cautious.
