Bitcoin Price Approaches Key Resistance: Eyes on $100K Target

Bitcoin is currently at a critical juncture near its yearly opening price, which has become resistance. Recent trading has shown fluctuations in the $93,000 to $95,000 range, with traders anticipating a breakout. Binance recorded $62 million in net taker volume, reflecting a bullish sentiment. Analysts are eyeing potential targets as Bitcoin establishes a Wyckoff reaccumulation pattern, aiming for the psychological $100,000 mark.

Bitcoin’s price movement is now at a critical junction, nearing the yearly opening mark which had previously served as support but is now a resistance. Just before it dipped to $93,993.08, Bitcoin was trading above the yearly open at around $94,264.5. Traders are keenly watching this range—if it breaks above this level, there could be significant upward movement ahead.

Bitcoin hovers close to its yearly opening price, which is a key focus area for traders. The $93,000 to $95,000 zone has seen significant price fluctuations, alternating between support and resistance. This area has caught the attention of many on the charts given its importance in recent trading. According to data from Binance on a 4-hour timeframe, Bitcoin had previously climbed past $94,000 before retracting. Beginning its rise from below $80,000, the price peaked at $94,000, drawing market traders’ focus to levels between $90,000 and $92,000.

Analysts are pointing out that a successful breakout from this position could send Bitcoin towards greater heights. The yearly opening price has been a crucial resistance point this trading year, and it offers traders a vital point to watch for when making decisions. If Bitcoin fails to maintain this level, it could prompt increased selling.

In a noteworthy development, Binance recorded a staggering $62 million in net taker volume, marking a new all-time record for the month. This surge in aggressive buying behaviour reflects strong market interest. Taker volume comes from market orders that remove liquidity, where a positive net indicates buying exceeds selling.

A chart shared by @ali_charts via CryptoQuant showed a positive spike in net taker volume beginning in mid-April, with sellers having previously dominated the chart. As Bitcoin surged from $76,000, buyers came pouring in, pushing the price past $90,000. This upswing correlates with increasing buying momentum, which is indicative of strengthening bullish sentiment. The 25-hour moving average of taker volume made clear gains as more green bars appeared on hourly charts, indicating buyers holding sway in the market.

Bitcoin has recently broken out from what appeared as a pennant, persisting in its upward trajectory on the 4-hour chart. Normally, when traders see this pattern, there’s an expectation of the ongoing trend continuing. A notable uptick in trading volume supported this price hike, showing buying interest was behind the rally. The previously established descending trendline was also broken, adding further strength to this upward movement.

Although Bitcoin reached a peak near $94,904, it then experienced a minor pullback, settling around $92,167. Nevertheless, the support levels held firm at $91,925.5 and $87,664.5. These points are key, corresponding with previous resistance and current demand zones. The exponential moving averages (EMA 5 and EMA 8) are also trending up, still signalling a bullish outlook unless these support levels are breached. The chart’s black arrow pointed out the direction of the breakout, and as long as Bitcoin holds above $91,000, it looks like the target of $100,000 is within reach.

Several analysts are now seeing Bitcoin’s price movement reflect a Wyckoff reaccumulation pattern. This typically features an uptrend after a period of accumulation, followed by consolidation before another surge. Trader Ezy Bitcoin commented that things are “playing out beautifully,” with potential bullish targets set at $131,500, $144,900, and $166,700.

There’s been enough cost basis data to indicate that a substantial volume of BTC could present a barrier, with the average holding price for 392,000 BTC resting at $97,000. Many investors might be ready to sell at break-even, hinting at a possible forming supply zone. A grip on this supply area would certainly favour buyers. Although short-term challenges are visible, the structure suggests that bigger players might be accumulating, hinting at the approach of a new cycle phase as the market transitions into an upward trend.