BTC Price Surge: What Traders Are Saying About Bitcoin’s Rebound to $100,000

BTC Price Analysis: Can BTC Maintain Momentum After Hitting $100K?

BTC Price Surge – Bitcoin (BTC) has made a strong rebound, climbing back to the $100,000 mark after a brief dip, following the release of favorable US macroeconomic data on December 11. The cryptocurrency saw a price surge of nearly 4% on the day, according to data from Cointelegraph Markets Pro and TradingView.

Bitcoin’s Resurgence After Wall Street Open

Despite initial struggles after the daily close, BTC/USD quickly regained momentum, hitting the coveted six-figure mark. Traders appeared to overlook previous concerns, such as the rejection of Microsoft’s Bitcoin treasury plan, which had caused a brief slump in Bitcoin’s price. The bounce-back was further fueled by positive economic signals, which contributed to growing market optimism.

Trader Insights: Bitcoin’s Strong Liquidity and Price Target Boost

Popular trader Skew commented on the rebound, revealing that a “passive buyer” had been instrumental in driving the price upward. He highlighted that there was a wide orderbook between supply and demand on Binance, the world’s largest global exchange, indicating strong liquidity conditions. Earlier, Skew had noted that the equilibrium point for the BTC/USDT pair on Binance was around $97,000.

Another trader, Roman, was optimistic about Bitcoin’s future prospects, pointing to a “completely reset” relative strength index (RSI) on the daily timeframe. According to Roman, this setup could lead to a “clean move” toward $112,000. Similarly, another well-known trader, Johnny, echoed this sentiment, noting Bitcoin’s strength as it repeatedly bounced in the mid-$90,000 range.

US CPI Data Fuels Market Optimism for Fed Rate Cut

Bitcoin’s rally was also supported by the November Consumer Price Index (CPI) data, which met market expectations. The CPI print, showing stable inflation, further cemented the anticipation of a 0.25% rate cut by the Federal Reserve at its upcoming FOMC meeting on December 18. According to Keith Alan, co-founder of Material Indicators, 86% of Fed watchers are predicting a 25 basis point (bps) rate cut, with market expectations at their highest point. Additionally, CME Group’s FedWatch Tool and prediction platform Kalshi both indicated strong confidence in the rate cut, with Kalshi placing the odds at 95%.

Looking Ahead: What’s Next for Bitcoin?

With economic factors like the US Fed’s anticipated rate cut helping boost market sentiment, Bitcoin’s price could continue to experience upward momentum in the near term. Traders are keeping a close eye on how these macroeconomic developments will continue to influence Bitcoin’s trajectory, as well as how the broader cryptocurrency market will respond to potential regulatory shifts.

As Bitcoin steadily approaches $112,000, investors and traders alike are closely monitoring the key levels and potential catalysts that could shape its next major move.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Cryptocurrencies and stocks, particularly in micro-cap companies, are subject to significant volatility and risk. Please conduct thorough research before making any investment decisions.