Bitcoin Eyes New Highs After Reclaiming $118K Liquidity
Bitcoin (BTC) has shown strong recovery, rebounding after sweeping range lows and aiming to continue its upward trajectory. This movement signals that bulls are maintaining control of the market.
Bitcoin Traders Focus on Higher Levels After Liquidity Grab
- Traders are now targeting higher price points following Friday’s $115,000 liquidity grab.
- Fundstrat’s Tom Lee forecasts that Bitcoin could potentially reach $250,000 by the end of the year.
Data indicates that BTC/USD surpassed $118,300 on Bitstamp, marking daily gains exceeding 2%. The $3,700 increase from the weekly lows has bolstered traders' confidence as they prepare for a renewed attempt at all-time highs.
“Bitcoin closed above key bullish levels and filled the CME gap at $115K,” crypto analyst Ash Crypto noted.
The drop to $115,000 led to the liquidation of overleveraged positions, creating an opportunity for investors to increase their exposure. Ash Crypto added, “Institutions bought the dip, and bulls are in control.”
Liquidity and Key Price Levels
Expectations indicated that price action would likely target liquidity both above and below, with $114,000 and $118,500 identified as critical levels. CoinGlass data confirms that liquidity has been captured with the move above $118,000, while the next significant cluster is positioned at $120,500.
Trader Merlijn The Trader commented, “Liquidity doesn’t lie. Price gets pulled to where the stops are. The $120K zone isn’t just glowing, it’s calling, and BTC never ignores the call.”
Breaking the $120,000 level could trigger a liquidation squeeze, potentially pushing prices toward $124,000, a high-liquidity cluster.
Tom Lee Predicts Bitcoin at $250,000
Fundstrat’s Tom Lee anticipates Bitcoin potentially reaching $250,000 by the end of 2025. In a recent CNBC interview, Lee stated that the $200,000 to $250,000 range “still makes sense, because that would still only value it at 25% of the size of the gold market.”
Lee also suggested that Bitcoin might be undervalued as a “digital gold,” estimating its fair value at over $1 million per BTC.
Bitwise researchers André Dragosch and Ayush Tripathi have also indicated that Bitcoin could reach between $200,000 and $230,000 by year-end, citing Trump’s proposed tax cuts and rising U.S. debt. Crypto analyst Stockmoney Lizards predicted Bitcoin could peak around $200,000 based on a technical breakout.
Disclaimer: This is not investment advice. Trading and investing in cryptocurrencies involves risk. Conduct thorough research before making any decisions.
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