Bitcoin Price Surge Amidst Bullish Pressure

Bitcoin price faced strong bullish pressure due to increasing buying domination. As a result, BTC price surged above Fib levels, maintaining momentum above the $88K level. In the past 24 hours, Bitcoin’s trading volume surged by over 161%, totaling $31.2 billion.

Recent Price Trends

Bitcoin fell below $100,000 on January 7 and saw a downward trend, reaching a low of approximately $89,397 on January 13. On February 3, Bitcoin crashed to about $91K. In recent days, the price displayed increased volatility below $90K. However, its total market capitalization surged by 3.6%, settling at $1.74 trillion.

Bullish Momentum Driven by Tariff Adjustments

On Friday, Trump adjusted his position on tariffs, signaling possible flexibility regarding the upcoming “reciprocal tariffs” set to take effect on April 2. There are indications that the Trump administration may exempt certain countries from these tariffs and is unlikely to implement sector-specific tariffs on products like cars, pharmaceuticals, and semiconductors. However, the current suspension of tariffs on various products from Canada and Mexico will also expire on April 2, leading to significant increases on imported goods.

Federal Reserve Chair Jerome Powell suggested these tariffs might lead to a temporary spike in inflation this year but won’t result in long-term inflationary pressure. Powell hinted at a possible interest rate cut of half a percentage point later this year, contributing to Bitcoin’s price recovery, pushing it above $88K within hours.

Market Liquidity and Open Interest

Recent data from Coinglass shows Bitcoin experienced nearly $108 million in total liquidations over the last 24 hours, with buyers liquidating $14 million and sellers approximately $94 million, indicating a significant increase in short liquidations. Bitcoin’s open interest surged by 9.1%, reaching around $58.69 billion, although its funding rate stands at -0.0088%, suggesting sellers might soon gain control.

Technical Analysis of Bitcoin Price

Bitcoin has shown strong buying momentum, breaking above crucial Fib levels and surging above $88K. Currently hovering at approximately $88,520—a gain of about 4% in the past 24 hours—the crypto king briefly tested $88.7K to validate further gains.

Sellers are pressuring to keep BTC below the crucial $90,000 level, but buyers are preparing to reclaim this vital threshold. If bulls push Bitcoin above $90K, confidence may rise, leading toward the anticipated $95,000 milestone. Conversely, if buyers fail to rally, BTC may slide further toward the $81,000-$85,000 region.

Future Expectations for Bitcoin Pricing

Short-term: According to BlockchainReporter, BTC may target $90K. If it exceeds that, a push toward $95,000 could occur; otherwise, it might drop within the $81K-$85K range.

Long-term: Coincodex’s current prediction estimates Bitcoin could increase by 36.22%, reaching approximately $118,986 by April 23, 2025. Current technical indicators suggest a neutral sentiment, with the Fear & Greed Index at 0. Over the past 30 days, Bitcoin experienced 13 days of gains, with a volatility of 4.80%. Based on these forecasts, Coincodex advises that it might be a good time to buy Bitcoin.

Risks in Bitcoin Investment

Investing in Bitcoin involves risks due to market volatility. Investors should:

• Conduct technical and on-chain analysis.
• Assess their financial situation and risk tolerance.
• Consult financial advisors if needed.