Bitcoin's recent uptrend has traders closely watching whether it can break above its all-time high of $108K. The key factor in this potential breakout is whether the market can generate enough momentum to surpass this critical resistance level.
A crucial on-chain indicator, the funding rates metric, has shown a bearish divergence. While Bitcoin’s price has surged toward ATH, funding rates have declined, suggesting weak demand in perpetual markets. This divergence indicates that bullish momentum may not be strong enough to support a breakout at this stage.
For Bitcoin to decisively breach $108K, the funding rates must rise further, signaling an increase in optimism and a greater influx of long positions. Without this market-wide enthusiasm, the resistance at $108K could hold, leading to potential consolidation or a temporary rejection.
Written by ShayanBTC
