Bitcoin Up 5% in Spot Buying, $100k on Horizon: Analysts
After rallying above $95,000 on Tuesday, the price of bitcoin could be headed for a psychological $100,000, with analysts citing the recent rally as a flurry of spot buying.
“This rally in Bitcoin appears to be driven by spot buying,” crypto analyst Will Clemente said in an X post on Tuesday. Over the past 24 hours, Bitcoin (BTC) has rallied 4.65%, trading at $95,190 at press time, according to CoinMarketCap.
According to CoinGlass data, traders who short the asset are caught offside.
For Bitcoin (BTC) holders, it is a bullish sign that buying a position means that investors are buying the underlying asset instead of paper contracts like Bitcoin futures or options, which increase the price without real demand.
“Clearly” Bitcoin is going to go to $100,000
MN Trading Capital's Michael Van de Pop said on XPost on Tuesday, “It's very clear that next week it will run to $100,000 and buy dips.”
After falling on November 13 last year, Bitcoin failed to regain the $100,000 level.
According to crypto prediction markets platform Polymarket, Bitcoin has a 51% chance of regaining $100,000 on February 1 and a 23% chance of reaching $105,000.
Historically, January has been a modest month for Bitcoin, with an average increase of 4.18% since 2013, while February has typically been the strongest, offering an average return of 13.12%.
Van de Pop added, “The bull market is not dead, it's about to start.”
Crypto sentiment at record lows for over two months
If Bitcoin returns to the six-figure price level, it could spark new excitement in the market, according to crypto sentiment platform Centim.
“If the top crypto asset starts teasing $100K in the next few days, there could be retail FOMO,” Santiment said on Tuesday at XPost.
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Crypto sentiment has been largely negative since early November, following a $19 billion market surge on October 10.
The Crypto Fear and Greed Index rose between “Fear” and “Extreme Fear” during this period. On Wednesday, the index posted a “fear” score of 26.
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