Bitcoin News: Path to $120K and Key Price Levels to Watch

Bitcoin's price has been on a steady upward trajectory, recently breaking through the $100K mark and aiming for new highs. This analysis explores the key support and resistance levels, as well as the potential for BTC to reach $120K.

Bitcoin Price Analysis: What Lies Ahead on BTC’s Path to $120K?

Bitcoin’s price has been gradually rising over the past few weeks, paving its way toward a new record high, which arrived on Monday. However, it lost some momentum, and the question is what will happen next. On the daily timeframe, the asset rebounded from the $92K support level a couple of weeks ago. The $100K level has been broken to the upside recently, leading to a gradual rise toward the $110K level and potentially higher. With the RSI indicating that the momentum is still bullish, it is very likely that the market will rally toward the $120K level soon. Looking at the 4-hour chart, the recent choppy price action can be clearly witnessed. The asset has been trapped between the $100K and $108K levels over the last ten days or so.

Bitcoin Demand Weakens but Large Investors Enter Reaccumulation

Since the United States presidential inauguration, overall Bitcoin spot demand growth has slowed considerably. Spot demand growth is needed for BTC’s price to rally again; however, the metric has yet to make a comeback. A CryptoQuant report revealed that despite the lack of such an increase, large BTC investors have entered a reaccumulation phase and are loading up on their bags. While spot demand growth is slow, bitcoin’s apparent demand has continued in expansion territory but at a slower pace. The rate of expansion has fallen from 279,000 BTC in early December 2024 to 75,000 BTC currently. Additionally, the demand momentum increase has slumped from 1.7 million to 0.1 million between early December and now. Bitcoin needs to see an increase in this metric’s growth for its price to rally.

Bitcoin Price Review

Bitcoin, $BTC, posted a notable decrease in today’s session, as seen from its price movements. Looking at an in-depth analysis, Bitcoin is trading above the 100 and 200 SMAs but is consolidating around the 50 SMA. Recent price action shows a rejection NEAR $106,000, indicating a potential resistance zone. On the other hand, looking at other indicators, we see that the Volume Oscillator at -28% suggests declining momentum. Bitcoin traded at $104,388 as of press time, representing a 0.82% decrease over the last 24 hours.

Bitcoin Price At $321,000 This Cycle? Analyst Says It’s The ‘Math’

Crypto analyst Tony Severino has provided an ultra-bullish outlook for the Bitcoin price, predicting that the flagship crypto could rally to as high as $321,000. The analyst admitted that this target was too high for BTC but added that it was simply the 'math'. In a substack post, Tony Severino predicted that the Bitcoin price could rally to as high as $321,000 in this bull run. This came as the analyst highlighted a potential head and shoulders pattern that had formed on Bitcoin’s chart. The analyst claimed that if this bullish pattern was valid, then it projects a maximum target of $321,000 per BTC. Severino admitted that this price target for the Bitcoin price is too high but remarked that it’s the 'math'.

Analyzing Bitcoin’s Latest HODLing Trends – Lessons for Traders

Long-term Bitcoin holders have shown resilience against selling during market volatility, with minimal deposits to exchanges from those holding BTC for over 155 days. This strong HODLing sentiment indicates confidence in Bitcoin's long-term value despite short-term market fluctuations. Additionally, low levels of Coin Days Destroyed, which tracks the movement of older Bitcoin, underscore the market's stability and investor trust in its future growth.