Bitcoin Under $100K: Potential Factors and Risks
Despite Bitcoin recovering from its lows of $91,300, it is still struggling to reclaim $100,000.
This is attributed to the “solid supply wall” between $98,000 and $100,000, where investor holdings are concentrated, which is a strong resistance according to analyst Ali Martinez.
On the other hand, the withdrawal of 48,000 Bitcoin from exchanges ($4.7 billion) at the end of 2024 reduced immediate selling pressure, which is a positive development.
However, the price may see a retest of the 50-day moving average at $97,000.
Analyst Martinez warns of the possibility of forming a head and shoulders pattern that could lead to a drop to $78,000 if Bitcoin does not close above $100,000 soon, which is necessary to invalidate this bearish scenario.