Bitcoin’s price has seen a substantial rise over the last week, surpassing its $100,000 for the first time since late February. Many technical indicators and market factors are backing this bullish trend. This stokes rumors of just how high the cryptocurrency’s price might soar. The massive rally has led to a huge number of liquidations across the market, most notably among shorts. Analysts are laser focused on these important levels to determine if this bullish run can be maintained.

Bitcoin price was up 4.3% on May 9, driving it over the $100,000 level. This surge is likely due to very strong bullish momentum as Bitcoin is currently trading above its 5-day, 10-day and 20-day moving averages. Technical analysis indicates that Bitcoin’s price may only just be getting started, with Bitcoin on the verge of breaking new all-time highs.

Technical Indicators Point to Further Upside

Technically, Bitcoin is showing its most recent trading pattern as an ascending parallel channel, which signals a continued uptrend. An bullish continuation pattern, or bull flag, on the weekly chart adds confirmation to the bullish outlook, measuring up to a price target of $182,200 for bitcoin. The bull flag breakout happened on April 22 when the price action broke above the flag’s upper trendline at $88,000.

The cryptocurrency might climb as high as $182,200. That would be a huge 75% increase since its current price, retracing back to the peak of the last bullish run up. The rally has led to the creation of “overbought conditions.” Having risen above 70 on daily timeframes, this indicator suggests a correction could be due.

Some analysts have been looking at a short-term target for Bitcoin at its previous all-time high daily close which is above $106,000. Analyst AlphaBTC called attention to a curious confluence of Fibonacci retracement levels with major support. This means that Bitcoin might go up to $106,000 before getting a correction down.

I am liking how these Fibonacci retracement levels line up with support, makes me think $BTC has another leg to 106K+ before it corrects. - AlphaBTC

Market Liquidations and Future Predictions

Bitcoin’s recent massive price increase sparked around $800 million in short liquidations, the biggest liquidation event since 2021. Total liquidations in the crypto market exceeded $925 million, with most of them coming from short positions. This liquidation cascade helped BTC appreciate in price quite quickly.

These are the levels the market is clearly watching and would show the current uptrend to be unsustainable should they break. Crypto trader Egrag Crypto has pinpointed a key level of support that Bitcoin must hold in order to continue its bullish path.

I've been targeting the $170K range as the potential cycle top — but here's the key: #BTC must close above $109K. Anything less is just a #BullTrap and a retracement, nothing more. - Egrag Crypto

Beyond the 2024 halving, some analysts are forecasting even loftier targets for Bitcoin. Binance founder Changpeng Zhao has thrown his own hat in the ring by calling for Bitcoin to hit anywhere between $500,000 and $1 million in this cycle. Nevertheless, other analysts have similarly predicted that Bitcoin’s price could reach up to $1 million by 2025.

Caution and Key Levels

As exciting as this momentum is, it’s time to be cautious. The technical indicator of “overbought conditions” indicates that a price correction could be around the corner.

Traders and investors should be laser-focused on these important levels. Keep an eye on the former all-time high daily close above $106,000 to judge the strength and sustainability of the uptrend. Any inability to hold these heights may be the first sign of a pending pullback.