Is $100K the Next Goal or a Snare at the Golden Pocket?

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Bitcoin bulls are aiming to break above the $97,000 mark, striving to establish their recent breakout over a prolonged consolidation phase. After remaining around $95,000 for a week, Bitcoin surged to $97,000 before retracting and generating a fair value gap.

Additional Insights

This has triggered a notable increase in activity on the Bitcoin blockchain, and the next question is whether the current momentum will sustain the climb towards $100,000 or if resistance will hamper this progress.

Bitcoin Achieves 6-Month High in Network Engagement

A significant change in market dynamics has emerged in recent times. An analysis indicated that Bitcoin has recently logged its highest number of active addresses in six months. A reported 925,914 unique BTC addresses engaged in activity within a single day, reflecting an exceptionally high level of interaction on the Bitcoin network.

The correlating chart illustrates the steep increase, developing from a steady rise that began in late April. Curiously, the uptick in Bitcoin activity corresponds with its recent recovery of the $95,000 price band.

Source: Analyst Insights

Supporting the bullish argument, another analyst noted compelling technical patterns that suggest the potential for a continuation towards $100,000. The BTCUSDT 4-hour analysis reveals a structure similar to that observed in mid-April.

Back at the time, Bitcoin consolidated near $86,000, surged upward, left a fair value gap (FVG), retested this deficit, and then increased by nearly $10,000. A similar setup is currently unfolding. Bitcoin initially compressed below $95,000, overcame resistance, and now displays a fresh FVG within the range of $94,200 to $95,000.

BTC is trading at $95,424. Source: Trading Insights

The crucial point is to avoid chasing the breakout; rather, it is advisable to wait for a proper retest of the new FVG. If buyers maintain that level as seen earlier this month, the trajectory towards $100,000 remains solid. Conversely, should Bitcoin fall back into the previous range below $94,000, it could shift the outlook to bearish.

Source: Trading Insights

Bearish Golden Pocket Setup Signals Potential Risks

However, not all experts believe Bitcoin can reach $100,000 without a prior retreat. An alternative viewpoint highlights a potential bearish setup on the short-term BTCUSDT 15-minute chart.

According to this analysis, the current upward movement seems corrective rather than assertive, forming a classic short setup within a notable resistance zone. The technical overview reveals that Bitcoin has retraced into a segment aligning with a bearish fair value gap and the golden pocket zone defined by the 0.618 to 0.65 Fibonacci levels.

Additional Insights

Currently, the fair value gap persists between $97,000 and $97,450. If Bitcoin fails to breach this supply zone, a reversal could take place, potentially catching bulls unprepared.