Bitcoin surged to 108,000 before pulling back, analysts warn of pullback risks.
Bitcoin experienced severe volatility last night (12/17) after the U.S. stock market opened, briefly rising to around $108,000 for a new high before quickly dropping over $2,000, and as of the time of writing today, it continues to decline, with a current price of $104,764.
CoinGlass data shows that this pullback caused a liquidation of $338 million in the cryptocurrency perpetual contract market, with approximately 140,000 people liquidated, while Bitcoin's liquidation volume reached $58 million.
Source of the image: CoinGlass Cryptocurrency perpetual contract market liquidations total $338 million.
According to (Cointelegraph) reports, well-known analyst Rekt Capital points out that Bitcoin is in the 7th week after breaking the historical high, and historically, this stage usually presents a pullback risk.
He cited data from past bull market cycles, indicating that Bitcoin bull markets in 2013, 2017, and 2021 all exhibited a significant pullback in the 6th to 8th week after breaking new highs, with a decline between 16%-34%.
If Bitcoin pulls back, $98,133 may be support.
On-chain data platform Whalemap analyzes that, from on-chain data, the average price of over 150,000 Bitcoin large holdings is around $98,133, which is likely to become a key support level during a pullback.
Source of the image: X On-chain data platform Whalemap analyzes that $98,133 may be a key support.
Cryptocurrency trading company QCP Capital believes that although it is currently difficult to be bearish on Bitcoin spot, the options market has recently favored puts (bearish options) rather than calls (bullish options), indicating that investors are more inclined to hedge risks rather than chase gains.
Other analysts' views: Bitcoin's short-term support is at 96,000.
Another trader, Josh Rager, holds a more optimistic view, advising investors not to worry too much about short-term pullback risks and predicting that the period from now until the summer of 2025 will be a golden age for the cryptocurrency market.
(Cointelegraph) Senior analyst Rakesh Upadhyay points out that Bitcoin is currently near the resistance level of an upward channel. If it can break through the current resistance level, the next target price may be $113,331, and it may even challenge the $125,000 mark.
However, if Bitcoin falls below the 20-day exponential moving average EMA (approximately $98,920), it would indicate that the market has entered a pullback phase, and the short-term support line will be around $96,000.
Source of the image: Cointelegraph Senior analyst points out that Bitcoin's short-term support line is around $96,000.
Although Bitcoin faces pullback risks, analysts remain optimistic about its medium to long-term trend. Short-term fluctuations are a healthy pullback and will not change the overall upward trend. Investors should remain calm, focus on key support levels, and manage risks.
【Disclaimer】The market has risks, and investment should be cautious. This article does not constitute investment advice, and users should consider whether any opinions, views, or conclusions in this article are suitable for their specific circumstances. Investing based on this is at one's own risk.
'Bitcoin surged to 108,000 before a sudden drop! Analysts warn of pullback risks: key support is here.' This article was first published on 'Crypto City'.
