Bitcoin (BTC), the leading cryptocurrency by market capitalization, has been on a remarkable upward trajectory over the past three weeks, nearing the elusive $100,000 milestone. This surge in value follows the victory of Donald Trump in the presidential election, defeating Democratic Party candidate Kamala Harris, which has instilled a newfound confidence among investors in the broader crypto industry.
This positive sentiment has translated into increased adoption of Bitcoin as a strategic reserve asset by major corporations worldwide. The inflows into exchange-traded funds (ETFs) have also seen a significant uptick, further fueling the bullish momentum. Despite a recent 7% correction, Bitcoin’s price fell to around $91,000 before recovering to $96,000, raising questions about its ability to surpass the psychological $100,000 barrier by the end of the year.
Critical Support At $92,700
The peak price of $99,540 reached last week has left investors pondering whether Bitcoin can maintain its upward momentum or if selling pressure will result in further consolidation. Despite the prevailing uncertainty, Glassnode founders Yann Allemann and Jan Happel have offered valuable insights into Bitcoin’s potential path as December approaches. While acknowledging the challenges ahead, they remain optimistic that the $100,000 target is within reach.
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In a social media post on X (formerly Twitter), Allemann and Happel identified key levels to watch in Bitcoin’s price action. They noted that Bitcoin is currently navigating a bullish channel, but resistance at $97,200 remains unbroken. If this resistance persists, a retest of the $92,700 support level, which aligns with the Daily 20 Simple Moving Average (SMA), is likely. This support zone is considered crucial by the two founders for maintaining the bullish channel and keeping the $100,000 target achievable.
Bitcoin Could Surge To $125,000–$140,000 By Year-End
Adding to the optimism, crypto analyst Ali Martinez highlighted historical trends that suggest Bitcoin typically rallies in December following US presidential elections. In the previous two cycles, Bitcoin recorded gains of 30% and 46%, prompting Martinez to speculate that if history repeats, Bitcoin could close the year within the $125,000 to $140,000 range.
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Martinez also pointed out that long-term Bitcoin holders have been seizing profits as the price ascended from $62,000 to $99,000. However, he emphasized that this profit-taking behavior is typical in bull markets and should not be misconstrued as a sign to short the asset. According to historical patterns, long-term holders often realize gains during rising prices, potentially causing short-term volatility but not necessarily signaling a shift in the overall market trend.
At the time of writing, BTC is trading at $96,500, experiencing a slight 0.3% decrease in the 24-hour time frame and nearly a 2% decline over the past week.
