The post Bitcoin at $104K: Here’s Why Sustaining Above $102K is Very Important for the BTC Price Rally to Reach $110K appeared first on Coinpedia Fintech News
Bitcoin has just made an all-time high at $106.6K and continues to grind upwards regardless of the interim pullbacks. The market trend flipped heavily with a major change in the leadership set to happen. Donald Trump won the election and was chosen to be the next president of the U.S., which triggered bullish waves across the market. This led the rally close to $100K in the first attempt and later rached the current highs, maintaining an ascending consolidation.
In a recent update, Trump reportedly confirmed Bitcoin reserve plans that have increased the trading volume, which was slowly draining after reaching the highs close to $150 billion. Meanwhile, the participation of the bears remains within restricted levels, suggesting they could be waiting for the start token to reach certain highs. Although the price rose above $106K, no major liquidation was recorded that validates the above claim.
Now the question arises: whether the BTC price will continue to surge beyond $107K? If yes, where are the trigger points for the bears?
Above the chart is the Bitcoin liquidation heatmap, which shows the potential range where the shorts or the longs have been accumulated. The price is trading just above the interim support zone between $103,726 and $104,300, where nearly $250 million worth of shorts have been accumulated collectively. Although breaking these levels may certainly not drag the levels below $100K as a strong base of longs has been formed at $102K of an accumulated $190 million.
Hence, these levels are expected to halt the bearish trend if bearish activity intensifies and also trigger a strong rebound. What’s next? How high can the Bitcoin price go if the bulls trigger a rebound from here?
The above chart shows the potential leverage trades placed on multiple ranges, and the latest pullback from highs appears to be a result of the 100x & 50x being placed around those levels. Meanwhile, the long liquidations have started to accumulate at $106.8K & $107.2K. However, the $107.5K range is more attractive with close to $500 million cumulative short liquidation leverage with a ratio of 25%, 50%, and 100%. Therefore, this range currently appears to be tiny, but if the BTC price proceeds higher, the accumulation around this range may intensify.
Therefore, the levels around $107.5K may be considered the next highs for the Bitcoin (BTC) price rally that could be achieved before the 2024 end.