Bitcoin on its way to new heights: are we approaching $108K?

Bitcoin on its way to new heights: are we approaching $108K?

Bitcoin, the world's most famous cryptocurrency, is once again in the spotlight with signs of a bull market and a potential return to all-time highs. In recent days, the price of Bitcoin has hovered around $98,643, giving traders a much-needed reprieve after weeks of stagnation and low volatility.

According to data from Cointelegraph Markets Pro and TradingView, Bitcoin saw a daily close of $98,330 on the Bitstamp exchange. This price action suggests that BTC/USD is starting to return to form, and traders are anticipating a possible jump into six figures.

Bitcoin's price recovery was supported by fresh macroeconomic data from the US. Initial jobless claims beat expectations and reached 219,000, suggesting that the labor market could be vulnerable to continued restrictive economic policies. Even so, according to the latest estimates from CME Group's FedWatch tool, the probability of an interest rate cut at the Federal Reserve's next meeting in March remains virtually zero.

Trader Patric H. focused on medium-term time frames and highlighted that crossing the $100,000 threshold could be a key step to further growth. In a chart he posted on the X platform, he pointed out two downtrend lines that need to be broken. "We are waiting for a move in both directions," he added.

Another trader, Roman, called the $98,400 level a "turning point." According to him, the price could rise by $10,000 if it crosses this threshold. "Break $98.4k and I estimate $108,000 is next," he said in a previous post.

In the current trend of rising risk assets, Bitcoin joins gold and equities, which are also seeing a rise. This week, gold and the S&P 500 index reached new all-time highs, again highlighting the need for crypto markets to recover from high losses in the first quarter.

According to trade source The Kobeissi Letter, gold has even more than doubled the year-to-date returns of the S&P 500 index. In 2024, gold and the S&P 500 have proven to be unprecedentedly correlated at ~0.81.

Bitcoin thus stands at a crossroads. It may soon get back to all-time highs, which would bring new excitement not only among traders but also the general public. Expectations for growth are high and the cryptocurrency world is anxiously watching to see how the situation unfolds.

*This is not an investment recommendation.

The Coingarage team