Bitcoin (BTC) is currently in a critical price range between $97,500 and $99,800, where over 924,000 addresses have previously purchased more than 1.19 million BTC. This accumulation has been identified as a ‘brick wall’ by on-chain cryptocurrency analyst Ali Martinez, suggesting that a breakthrough could lead to new all-time highs for Bitcoin. A breakdown of the data shows that currently, around 18.77% of Bitcoin wallets are holding profitable BTC, while the majority is awaiting price recovery at higher levels. A break above this range could trigger strong bullish momentum and ‘Fear of Missing Out’ (FOMO) from investors on the sidelines.
The recent volatility in Bitcoin’s price, dropping to $92,000 before rebounding to $97,000, has been attributed to the Federal Reserve’s signal of fewer interest rate cuts in 2025. This market condition saw significant outflows, impacting spot exchange-traded funds (ETF) as Bitcoin ETFs recorded a $680 million outflow on December 19, the largest in their history. Despite this, cryptocurrency trading expert Alan Santana remains optimistic about Bitcoin’s future, stressing that the recent drop should be viewed as a healthy correction and reinforcing the bullish momentum of the cryptocurrency.
Santana highlighted the critical $90,000 support level and the potential to breach $100,000 again, with longer-term projections pointing to key Fibonacci extension levels at $113,968, $138,794, and $163,620 as Bitcoin advances. He mentioned that the recent shakeout was due to profit-taking by major investors, as part of an ongoing bullish trend. Santana projected a primary growth phase to pick up speed by late February, with periods of consolidation and altcoin expansion providing interim opportunities for investors.
In terms of Bitcoin’s price analysis, the cryptocurrency was trading at $98,510 by press time, rallying by over 3.5% in the last 24 hours. While Bitcoin is down 3% on the weekly chart, its technical setup indicates a continuation of renewed bullish momentum, with the asset positioned above its 50-day and 200-day simple moving averages. Market sentiment remains bearish, but the Fear & Greed Index reflecting investor confidence at 73 (Greed), and the 14-day Relative Strength Index (RSI) at 50.65 indicating neutral momentum. The focus is on bulls to sustain the ongoing momentum and help Bitcoin establish its price above $99,000 for a possible stab at a new record high.
