Bitcoin (CRYPTO: BTC) is hovering just above $113,000 as analysts are caught in two minds about the direction of its next move.
What Happened: Prominent analyst Kevin noted in his exclusive Patreon group that Bitcoin dipped to weekly support near $110,600, triggering long liquidations and forming a bullish divergence.
Rising retail and whale inflows, combined with bullish signals from the 4-hour relative strength indext, point to a possible measured upward move.
A 4-hour close above the 200-day simple moving average and the macro 1.272 Fibonacci extension around $113,000 could pave the way for a retest of resistance at $114,000–$114,400, suggesting step-by-step gains rather than a sharp surge.
Santiment data highlighted that the social media sentiment on Bitcoin remains polarized.
Kevin also highlighted BTC dominance at 57.21%.
A break below this level on weekly/monthly closes could trigger altcoin outperformance, reminiscent of Q4 in 2024.
Next major support is at 54.55%.
Conversely, a rebound above 60.28% could stall altcoin strength.
Macro factors, including Fed policy, remain key drivers; softening without a recession could push dominance lower, favouring altcoins.
Also Read: Bitcoin Struggles Around $112,000, But Here’s Why The Bull Run Is Not Over Yet
Why It Matters: Bearish forecasts targeting $70,000–$100,000 often signal higher probability of lower future prices, while bullish predictions of $130,000–$160,000 tend to imply a reduced likelihood of those highs being reached.
Traders should monitor support/resistance zones closely and factor in macroeconomic developments to gauge the sustainability of any bounce.
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