Bitcoin bulls are on the cusp of launching the market back to all-time highs and beyond, new BTC price analysis confirms ahead of a crucial weekly close.
Key points:
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Bitcoin analysis identifies the all-important price point to hold into the weekly close as all-time highs loom.
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Liquidity is tightly clustered around current spot price, with $106,000 the likely next battleground.
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Some traders are expecting the bid to enter price discovery to fail.
Bitcoin (BTC) preserved giant gains into the May 11 weekly close as analysis flagged the key level to hold next.
Analysis: BTC price can “kickstart the breakout process”
Data from Cointelegraph Markets Pro and TradingView showed weekend upside volatility, delivering new multimonth highs of nearly $105,000. A lack of liquidity during “out of hours” trading contributed to the move, which once more came on the back of positive rumors over a US-China trade deal.
A popular trader and analyst Rekt Capital confirmed that Bitcoin could even kickstart a return to all-time highs and price discovery. The all-important weekly close level to flip to support, he said, lay at around $104,500. “Can Bitcoin do it? Can Bitcoin Weekly Close above the Range High of its recently reclaimed Re-Accumulation Range to kickstart the breakout process?” he queried in a post on X alongside an explanatory chart.
An additional update calculated the current Bitcoin bull market as 85.5% complete, yet with the most erratic upswings still to come.
A look at the latest exchange order book data from monitoring resource CoinGlass showed a large cloud of asks clustered around the area immediately below $106,000 at the time of writing. Bids were laddered down to $102,000, creating a thickening band of liquidity around spot price into the weekly close.
Bitcoin can still retrace “entire move”
Some market participants remained bearish on short timeframes. Related: Is Bitcoin about to go parabolic? BTC price targets include $160K next. On X, popular trader HTL-NL argued that the current push toward all-time highs would end as a “fakeout” to trap late longs.
Another voice of caution, one all too familiar in Bitcoin trading circles, came in the form of fellow trader Il Capo of Crypto. In his latest X updates, the pseudonymous commentator warned that BTC/USD could correct to the extent that its entire rebound disappears. “This is the time to scale out, not in,” he argued on May 10.
Conclusion
As Bitcoin approaches critical resistance levels, traders face a pivotal moment that could determine the trajectory of the market. While optimism is rife, caution remains essential; the possibility of corrective movements underscores the need for strategic decision-making. The unfolding weeks will test the endurance of Bitcoin’s upward momentum, making it crucial for investors to stay informed and adaptable in their strategies.
