Bitcoin (BTC) has experienced bullish yet unstable price movements in the early months of 2025. Recent data has highlighted a changing sentiment among US investors. After Bitcoin briefly surpassed the $102,000 threshold, the asset has struggled to sustain its upward momentum. It has since lost most of its recent gains, currently standing just below $100,000. These developments align with critical insights obtained from on-chain metrics that provide a clearer understanding of Bitcoin’s short-term trajectory.
Bitcoin’s Price Struggles Despite Positive Coinbase Premium Index Signal
A CryptoQuant analyst known as Burak Kesmeci recently provided observations on the Coinbase Premium Index (CPI), which turned positive for the first time in 2025. The CPI measures the price difference between Bitcoin on Coinbase and other global exchanges, serving as a crucial indicator of US investor sentiment.
Three days ago, the Coinbase Premium Index crossed the Simple Moving Average (SMA14) for the first time in 26 days. Subsequently, Bitcoin’s price increased by 4% to reach $102,000. In November 2024, a similar pattern had seen Bitcoin rally from $69,000 to $108,000, suggesting that US buyers might once again be active in the market.
In conjunction with this positive shift, a significant outflow of 4,012 BTC from Coinbase was recorded, indicating a renewed buying interest among US-based investors. Historically, such patterns have been linked to increased buying pressure, often setting the stage for potential price surges.
Despite these encouraging signals, Bitcoin’s price performance remains constrained. After briefly exceeding the $102,000 mark on December 6, Bitcoin has since retreated, now trading below $100,000. This reflects a modest 3.3% decrease over the past 24 hours. This price point for the largest cryptocurrency by market capitalization positions it approximately 8.9% below its all-time high of $108,135, achieved in December 2024.
Bitcoin Faces Key Resistance Levels
Interestingly, the current price action suggests that while there is buying pressure, it may not be sufficient to catalyze another strong rally. According to cryptocurrency analyst Ali, Bitcoin maintains a critical support zone between $95,400 and $98,400, where over 1.77 million addresses collectively hold 1.53 million BTC.
This support zone remains vital for stabilizing Bitcoin’s price amidst market uncertainty. On the other hand, resistance seems limited, with only 107,000 BTC supply positioned between $104,700 and $105,770. This relatively thin resistance could pave the way for upward movement if buying pressure intensifies.
Market Outlook Remains Bullish
Meanwhile, taking a broader perspective, analysts continue to hold a bullish outlook on Bitcoin. For instance, Captain Faibik has recently shared his perspective on BTC, suggesting that the asset is still poised for a rally to $112,000. Such projections offer a sense of optimism for investors, indicating potential future gains if the market dynamics remain favorable.
