- Bitcoin hit $109K, driven by institutional demand and Trump’s pro-crypto policies.
- Key resistance at $109,500 may push prices to $115K if broken.
- Support near $94,979 signals potential correction toward $90K if breached.
Bitcoin reached a new ATH of $109,114.88 on January 20. Prices briefly surpassed $109,000 before retreating under $108,000. This rally comes just hours before Donald Trump’s inauguration as the 47th U.S. President. His pro-crypto policies have fueled optimism. Bitcoin first crossed $100,000 in December after his election win. Many investors see his plans for a Bitcoin reserve and deregulation as bullish drivers.
Following two months of consolidation, #Bitcoin has broken upwards from its rangebound conditions and surged to a new ATH of $109k.
In this article, we evaluate the conditions leading into this move to demonstrate signals of impending volatility.
Discover more in the latest… pic.twitter.com/7qtOJPuRxV
— glassnode (@glassnode) January 21, 2025
Strong Momentum Propels Bitcoin Higher
Bitcoin’s trading volumes soared by 108.72% to $104.38 billion, signaling massive demand. Bitcoin ETFs added $974 million to reserves, showing growing institutional interest. Prices currently hover at $105,000, up 1.45% in 24 hours, with a market cap of $2.15 trillion. Support levels sit near $94,979, while resistance stands at $109,500. A break above this barrier could push prices to $115,000.
On the other hand, a drop below support may lead to a correction near $90,000. Technical signals show bullish momentum. The 9-period moving average trends above the 21-period, pointing to a strong uptrend. The Chaikin Money Flow reveals robust capital inflows. Meanwhile, the RSI at 64.55 suggests room for growth despite slightly overbought conditions.
Bitcoin’s Future Looks Promising
Trump’s presidency brings hope for crypto deregulation and Bitcoin-friendly policies. Many believe this could spark further price surges. Long-term trends remain bullish, with Bitcoin trading above the 50-day and 200-day moving averages.
Traders closely watch the $109,500 resistance. A breakout could drive prices to $115,000 or higher. However, losing support near $94,979 might trigger a dip toward $90,000. Bitcoin’s record-breaking rally signals a new chapter for the crypto market.
With institutional demand rising and a pro-crypto leader in office, excitement grows for the road ahead. Many investors anticipate more volatility but remain optimistic about future gains.