TLDR
- Bitcoin price has surged to nearly $88,800, with predictions of exceeding $100,000
- Arthur Hayes of BitMEX called this the “last chance” to buy Bitcoin under $100K
- Weakening U.S. dollar and potential Treasury buybacks are driving Bitcoin’s momentum
- Technical analysis shows a bullish trend line with support at $87,300
- Analysts forecast Bitcoin could reach $132,000-$138,000 by year-end
Bitcoin’s price is making waves in the crypto market as it recently surged past $87,700, with some experts predicting this could be the last opportunity to buy the leading cryptocurrency below $100,000. The price movement comes as the U.S. dollar weakens and speculation builds around upcoming Treasury buybacks.
Arthur Hayes, co-founder of BitMEX and CIO of Maelstrom, has called this moment the “last chance” to purchase Bitcoin under the $100,000 mark. Hayes suggests that U.S. Treasury repurchasing its own debt could inject more liquidity into the market, acting as a “bazooka” for Bitcoin’s price.
Bitcoin currently trades above $87,500 and the 100-hour Simple Moving Average. A bullish trend line has formed with support at $87,300 on the hourly chart of BTC/USD.
The cryptocurrency briefly tested the $88,800 resistance level, forming a recent high. It’s now consolidating gains above the 23.6% Fibonacci retracement level of the upward move from $86,400 to $88,800.
Macroeconomic Factors Boost Bitcoin’s Appeal
The U.S. dollar has reached its lowest point since March 2022, making Bitcoin more attractive to investors seeking a hedge against currency devaluation. This weakening dollar trend has helped fuel Bitcoin’s recent price increase.
Bitcoin’s growing correlation with gold, which has risen nearly 30% this year, further reinforces its status as a store of value. Ryan Lee, Chief Analyst at Bitget Research, points to a “descending wedge breakout” in Bitcoin’s technical chart as support for the bullish outlook.
Global institutional interest in Bitcoin remains strong despite recent market volatility. Investment firms from Japan and the UK continue to invest in the cryptocurrency, showing confidence in its long-term potential.
The political climate adds another layer to Bitcoin’s price dynamics. President Donald Trump’s calls to remove Federal Reserve Chair Jerome Powell have increased expectations of a potential rate cut, which could further weaken the dollar and benefit Bitcoin.
Price Targets and Technical Outlook
Several analysts have provided price targets for Bitcoin in the coming months. Jamie Coutts from Real Vision forecasts that Bitcoin could climb as high as $132,000 by year-end, driven by expanding fiat money supply.
This projection aligns with economist Timothy Peterson’s prediction that Bitcoin could reach $138,000 within three months, based on similar market patterns observed in the past.
On the technical side, immediate resistance for Bitcoin is near $88,600, with the first key resistance at $88,800. The next important resistance level sits at $89,500.
If Bitcoin breaks above $89,500, it could continue higher to test the $90,500 level. Further gains might push the price toward $92,000.
However, if Bitcoin fails to break above $88,800, it could start a downward correction. Immediate support is near $88,000, with major support at $87,600 and $86,800.
Despite the overall bullish sentiment, some experts urge caution. Michaël van de Poppe warned that weekend price rallies can sometimes be misleading, and Bitcoin may experience a dip before breaking through key resistance levels.
The next major hurdle for Bitcoin is seen around $91,000. Until this level is surpassed, short-term price corrections may still occur.
The hourly MACD (Moving Average Convergence Divergence) indicator is gaining momentum in the bullish zone, while the RSI (Relative Strength Index) for BTC/USD is above the 50 level, suggesting continued upward pressure.
The combination of weakening fiat currencies, rising institutional support, and potential Treasury buybacks creates a favorable environment for Bitcoin to continue its upward trajectory toward and potentially beyond the $100,000 milestone.
Stay Ahead of the Market with Benzinga Pro!
Want to trade like a pro? Benzinga Pro gives you the edge you need in today's fast-paced markets. Get real-time news, exclusive insights, and powerful tools trusted by professional traders:
- Breaking market-moving stories before they hit mainstream media
- Live audio squawk for hands-free market updates
- Advanced stock scanner to spot promising trades
- Expert trade ideas and on-demand support
