Bitcoin Price Cycles Lengthen Amid Signs $124K Is Not the Bull Market Peak
Recent market analysis indicates that Bitcoin (BTC) remains on track for new all-time highs, challenging the notion that $124,000 marks the peak of the current bull run. Following a breakout above critical resistance levels, experts suggest that historical trends and liquidity dynamics support a prolonged upward trajectory.
Resistance at $113,000 Weakens
Bitcoin briefly climbed above $114,000, bolstered by favorable macroeconomic conditions in the United States. Analyst and trader Rekt Capital highlighted that BTC/USD has broken its local downtrend and is confronting a key resistance zone around $113,000.
Rekt Capital noted that each rejection at $113,000 has resulted in progressively smaller pullbacks, indicating diminishing selling pressure at this level. This pattern suggests that $113,000 is losing its strength as a resistance point, which could pave the way for further price discovery.
Bull Market Cycle Extending Beyond Previous Expectations
Despite a recent dip below $108,000 that prompted bearish forecasts, Rekt Capital argued that Bitcoin’s bull market is unlikely to have peaked. He reasoned that if $124,000 were the cycle’s top, it would represent one of the shortest bull markets in Bitcoin’s history.
“If anything, cycles are getting slightly longer rather than shorter,” he stated, implying that the current rally has room to extend.
Liquidity Patterns Point to Potential Short Squeeze
Market participants are also closely monitoring order-book liquidity, which appears to be clustered just above the current price. Popular commentator TheKingfisher observed that most liquidity is positioned above spot prices, creating conditions conducive to short liquidations.
This concentration of short positions near $112,600 could trigger a short squeeze, potentially driving prices higher in the near term.
Next Resistance at 50-Day Moving Average
Keith Alan, co-founder of Material Indicators, identified the 50-day simple moving average (SMA) near $114,700 as the next key resistance level. This threshold also aligns with a psychological round number at $115,000, which could influence trader behavior.
Material Indicators underscored that recent price movements have unfolded with a degree of predictability, driven by dynamic liquidity placements and large whale orders.
While these technical signals are promising for bulls, analysts caution that market risks remain and recommend thorough research before making investment decisions.
FinOracleAI — Market View
The recent breakout above $113,000 and weakening resistance suggest bullish momentum is building, supported by liquidity dynamics that could trigger short squeezes. The extension of Bitcoin’s price cycles points to a sustained bull run beyond $124,000, although the 50-day SMA near $114,700 remains a critical hurdle.
Investors should watch for confirmation of the short squeeze and the price reaction at the 50-day SMA, as failure to clear this level could stall the rally. Market volatility and macroeconomic factors continue to present risks.
Impact: positive
