Bitcoin’s price topped $101,000 as the traditional financial market opened its doors on January 6. Umbrellaed by bullish sentiment and strong liquidity, Bitcoin managed to reach six figures again with a quick surge on Bitstamp, achieving an almost 3% increase. Today, Bitcoin’s price is not only at its highest since December 19 but marks the first official trading week of 2025 on a positive note.
Behind this move is MicroStrategy’s announcement of investing in another 1,070 BTC, boosting its corporate treasury. This recent advancement caused ripples in the market that were felt by a substantial passive seller on Binance at the $100,000 benchmark. The seller’s presence was also a significant liquidation resource.
Data from CoinGlass indicated a $36 million worth liquidation of short positions on BTC within 24 hours of this event. Rekt Capital, a renowned analyst and trader, opined that Bitcoin needs to hold this position and maybe increase a bit more in order to reenter the price discovery. He further analyzes a range of $91,000 to $101,000 within which Bitcoin is currently trading.
The technical significance of a $101,000 price point is paramount to Bitcoin’s growth. As per available data, each time Bitcoin touched $101k, it managed to surge at least up to $103k. This level acts as its resistance, which Bitcoin must overcome to follow the previous technical uptrend.
While an array of macroeconomic factors continuously influence Bitcoin’s price, one upcoming event on the horizon is the US presidential inauguration. The trading firm QCP Capital notes that the market is unlikely to experience any “Trump-related” stimulants before January 20. The firm also points to the forthcoming US jobs report on January 10 as the next crucial determinant.
Finally, QCP Capital added that current funding rates are significantly lower than when Bitcoin managed to cross the $100,000 mark in December 2024, showing that the market is looking on with anticipation.