Samir Kerbage, the Chief Investment Officer at Hashdex, believes there’s potential for bitcoin to take a breather before making another upward push. He noted that a consolidation phase between $75,000 and $83,000 could help establish a more solid foundation for the market.
“The range from $80,000 to $90,000 carries minimal historical trading volume, meaning price can navigate through these thin zones quite rapidly, for better or worse,” Kerbage explained. “A period of consolidation around $75,000 to $83,000 would be beneficial for creating a base. A prolonged movement past $83,000 could pave the way for testing the $100,000 mark.”
The minimal trading activity in this range suggests that there are fewer past transactions to serve as natural support or resistance levels. Consequently, this can make bitcoin susceptible to significant fluctuations in either direction once it enters this territory.
One critical question remains: who will be the next buyers?
The recent surge in bitcoin was partly driven by short sellers closing out their losing bets. According to Lee, the market now requires spot demand, particularly from institutions, to fill this gap. Ongoing investments in spot bitcoin exchange-traded funds (ETFs) could bolster the case for another upward movement.
A sustained breakthrough above $80,000 could open up possibilities toward the $82,000 to $87,000 range, as indicated by Lee.
Market strategist Joel Kruger from LMAX Group is also optimistic about higher prices. He pointed out that bitcoin’s movement through $67,300 and $70,000 suggests a significant cycle low may already be established. He views $83,000 as the next crucial milestone for upward movement.