Bitcoin has entered a brief consolidation phase after reaching modern all-time highs last week, following an aggressive price rally that captured the market’s attention. This escalate followed two significant events: former President Donald Trump’s victory in the US elections and the Federal Reserve’s decision to cut interest rates. These developments have fueled optimism in the markets, pushing BTC into uncharted territory.
Key data from CryptoQuant founder Ki Youthful Ju provides further insight into the factors underlying this rally. According to Ju, retail investors are returning to the market en masse, which is a powerful indicator that Bitcoin’s recent rally is not a short-term event but the beginning of a more lasting bull market.
Historically, increased retail activity has coincided with phases of explosive growth in BTC, which has added weight to the narrative of further gains.
Analysts point to solid demand and favorable macroeconomic conditions that support further growth. Although the price may undergo a short-term correction, the inflow of retail investors suggests powerful grounds for the next phase of growth. Bitcoin’s resilience and growing popularity strengthen its leadership position in the evolving financial landscape.
The Bitcoin party has just started
Bitcoin has reaffirmed its bullish rally after breaking all-time highs multiple times over the past two weeks. This recent surge has many investors believing this is just the beginning of a larger upward move, with some predicting that BTC could hit $100,000 in the coming weeks.
Growth is characterized by high dynamics, consistently setting modern price levels and demonstrating resilience despite potential market corrections.
Data from CryptoQuant CEO Ki Youthful Ju suggests that individual investors are starting to play a larger role in this rally. According to Ju, the volume of Bitcoin transactions is below 100,000. dollars reached its highest level in three years, which indicates an escalate in the share of retail trade. Retail investors have been a key factor in Bitcoin’s price growth in the past, and when they enter the market, it has often led to huge gains for BTC and the broader cryptocurrency market.
This escalate in retail activity could signal the beginning of another phase of euphoria for BTC, similar to that seen during previous bull markets. Once retail investors begin to show interest, demand for BTC could escalate, pushing the price higher and fueling the overall bullish sentiment in the market.
With Bitcoin making modern highs and increasing retail interest, the stage is being set for a potentially explosive rally towards $100,000. If current momentum continues, this could usher in a modern phase of BTC’s growth, providing modern opportunities and further strengthening its position as a leading digital asset.
BTC Tests Key Supply
Bitcoin surges above $90,000 to reach $91,777 after several days of consolidation, just below its all-time high (ATH). This upward move suggests that BTC is poised to continue, driven by rising demand and an influx of retail investors entering the market.
As the price tests key supply levels near ATH, it encounters key support at $87,000, which is a significant level of demand that could push BTC towards the psychological $100,000 level. Maintaining this level is necessary to maintain the growth dynamics and confirm bullish prospects.
If BTC loses support at $87,000, it risks extending the current consolidation phase or even triggering a correction from lower demand levels, potentially halting further price increases.
The coming days will be critical as the market assesses BTC’s ability to stay above this key level. A break above $95,000 and a push towards $100,000 could occur if successful, strengthening the bullish trend. However, failure to maintain support could lead to increased volatility and a deeper pullback, creating uncertainty for investors closely watching the market.
Featured image from Dall-E, chart from TradingView
