Bitcoin Price Fluctuates Amid Institutional Buying and Record Hashrate, Key Levels in Focus
Bitcoin (BTC) recently experienced heightened volatility, with prices dropping below $105,000 before showing signs of recovery. Earlier warnings indicated that continued downside could trigger a rapid decline toward $104,000 due to order book manipulation, while buyers reclaiming $108,000 might spark a rebound toward $110,000. The market registered persistent selling pressure, highlighted by 11 consecutive red hourly candles after the Wall Street open. Despite this, newer reports reveal strong institutional investment, as noted by JPMorgan, with the Bitcoin network’s hashrate reaching an all-time high—an indicator of long-term confidence among miners and large investors. BTC is currently trading between $102,000 and $110,000, down 3.7% over the past week but still up 3% over the last month. RSI remains below 40, suggesting a near-term bearish trend, but key support and resistance levels at $98,600 and $114,000 are now in focus. Should bullish sentiment persist, a rally toward $121,000 is possible, presenting nearly 20% upside. The record-breaking hashrate may signal a broader crypto market recovery, with altcoins potentially following Bitcoin’s momentum if it continues. Traders should closely monitor technical levels and macroeconomic factors as volatility is expected to persist.
Bullish
Short-term price action for Bitcoin (BTC) has shown notable bearish volatility, driven by significant selling pressure and concerns over order book spoofing that resulted in a drop below $105,000. However, the latest developments indicate renewed institutional confidence as highlighted by record-breaking network hashrate and active buying during the dip, particularly from large investors. This fundamental strength, combined with Bitcoin’s ability to remain above key support levels and the potential for a 20% rally if bullish momentum holds, shifts the market outlook towards cautious optimism. Historically, surges in hashrate and institutional accumulation have often preceded sustained uptrends. While short-term risks remain due to macroeconomic sensitivity and technical weakness, the stronger long-term indicators and improving sentiment provide a bullish outlook for BTC. A corresponding improvement in the broader crypto market may follow if Bitcoin’s rally extends.