Bitcoin is on a significant price leap, with a 19.28% gain in the past seven days. The premier cryptocurrency is experiencing another bullish Q4 as it approaches the $100,000 price target. However, crypto analyst Ali Martinez has highlighted a crucial condition for the market bulls to maintain the current momentum.
Why $91,900 Is Crucial To Bitcoin
The recent electoral victory of Donald Trump and Federal Reserve rate cuts have propelled Bitcoin to multiple all-time highs in the last two weeks. The crypto market leader hit a new peak of $93,434 on Thursday and has since retraced by 2.25% to remain in consolidation above $91,000.
Ali Martinez, commenting on Bitcoin’s future price movement, shared that the TD Sequential, a trading indicator for identifying trend exhaustion and market reversals, recently flashed a sell signal indicating a potential price recorrection for BTC. However, Martinez explains that Bitcoin can avoid a downturn if the market bulls ensure a daily close above $91,900. Holding this price level would allow Bitcoin to maintain its current trajectory and potentially climb to $100,680.
Martinez’s predictions counter wider beliefs that Bitcoin is due for a re-correction after a prolonged price rally since early October. In a separate post, the analyst notes that the Bitcoin Long/Short ratio currently stands at 0.79, with 55.94% of traders opening short positions in anticipation of a price fall. Bitcoin’s relative strength index remains above 70, signaling it’s in the overbought zone and is due for a price reversal. However, the asset’s price is also well above its 20-SMA, showing potential for a trend continuation.
Moreover, the impending return of Trump to the White House is expected to bring in new pro-crypto appointments in agencies like SEC and CFTC, which will likely reduce regulatory hostility. This, combined with the impressive performance of Bitcoin spot ETFs accumulating total inflows of $6.18 billion in Q4 2024, suggests that Bitcoin may reach another all-time high soon.
Currently, Bitcoin trades at $91,166, reflecting a 2.10% increase in the past day. The asset’s trading volume is down by 18.88% and valued at $68.54 billion.
In conclusion, Bitcoin’s price movement is closely watched by analysts and investors as it continues its bullish run towards the $100,000 price target. The market bulls must ensure a daily close above $91,900 to sustain the current momentum and potentially reach new highs. With various factors at play, including political developments and regulatory changes, Bitcoin’s future remains uncertain but promising in the cryptocurrency market.
