Bitcoin Taps $105,000: Here's When It Could Hit $122,000

Bitcoin's BTC/USD rally to almost $106,000 may not yet be its peak, with technical models and macro flows aligning to support a near-term price target of $122,000, according to a report.

The move follows a well-defined breakout above the $84,500 level in mid-April and has been reinforced by strong spot buying and expanding institutional interest, according to a market update from May 12.

What Happened: This week's data from CoinShares further underpins the bullish thesis.

Digital asset investment products recorded $882 million in inflows globally last week, marking four consecutive weeks of growth and bringing year-to-date inflows to $6.7 billion.

Bitcoin accounted for $867 million of that, continuing to dominate institutional allocations.

Notably, U.S.-listed Bitcoin ETFs have now amassed a cumulative $62.9 billion in net inflows since launching in January 2024, a record high.

Regionally, inflows were led by the United States ($840 million), followed by Germany and Australia, while Canada and Hong Kong saw small outflows.

CoinShares attributes the increase in inflows to "a global rise in M2 money supply, stagflationary risks in the US and several US states approving Bitcoin as a strategic reserve asset."

Also Read: Ethereum Explodes 25% Higher To $2,400, Notches Largest 1-Day Gain In 4 Years

What Experts Are Saying: From a market structure perspective, Bitcoin’s rally has unfolded in $16,000 increments, with clear resistance and support levels established at $73,000, $84,500, and $95,000, all of which have been either broken or successfully retested, according to 10x Research.

After peaking at close to $106,000, analysts suggest that momentum remains intact, with technical models now pointing toward $122,000 as the next major target.

The trade thesis has been driven by long call spreads, specifically $100,000/$110,000, capitalizing on low implied volatility, which remains around 45% despite the ongoing price surge.

"Being long on call spreads was the superior risk-adjusted trade," the report stated.

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Traders are now advised to consider rolling into higher strikes such as $110,000/$120,000.

Interestingly, the rally to $95,000 was driven not by leveraged futures but primarily by spot buying, notably from institutional players like Strategy MSTR and ETF inflows, while many futures traders attempted to short the move.

The failure of these counter-trades has added further weight to the bullish breakout.

Macroeconomic conditions have also provided a supportive backdrop.

Fed Chair Jerome Powell recently downplayed tariff-related inflation as "potentially a one-time event," while tomorrow's CPI print is expected to hold steady at 2.4%.

If inflation remains below 3% and U.S. economic data shows resilience, the incentive to exit positions may remain low. Political developments, particularly a pivot toward tax cuts and deregulation, are also cited as tailwinds.

Though Ethereum saw a significant price increase during the same period, its fund inflows remained limited at just $1.5 million, per CoinShares.

Meanwhile, Sui SUI/USD attracted $11.7 million in inflows last week, surpassing Solana SOL/USD, which saw outflows of $3.4 million.

On a year-to-date basis, Sui has now pulled in $84 million, overtaking Solana's $76 million.

Despite a complex macro backdrop, Bitcoin’s price action remains spot-driven and momentum-led, with the combination of technical breakouts and record-setting institutional flows making the $122,000 target increasingly viable.

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