Bitcoin climbed to $108,000 on 21 May, edging within 1.5 % of January’s record and stoking talk of a breakout.
A flash dip of around $1,000 shortly after the surge underlined the market’s volatility, yet bulls quickly regrouped as order-book data showed thickening bid walls near $106,000.
Traders now treat $109,356 on Bitstamp as the final psychological barrier before true price-discovery kicks in.
Crypto trader Michaël van de Poppe called the level a “point of interest” and argued that reclaiming it could ignite a run toward $116,000 and beyond.
“It’s always a good morning with Bitcoin at $108,000 and close to a new ATH,” he said on X.
Support zones firm up
Keith Alan of Material Indicators said multiple moving averages and the 2025 yearly open are coalescing into a “formidable support block” between $100,000 and $102,000.
“The 50-Day MA is on a trajectory to golden-cross the 200-Day MA,” he noted, adding, “You can’t really ask for stronger technical support than that.”
Alan conceded a retest of $100,000 would be healthy but now sees that scenario as increasingly unlikely if momentum holds.
Meanwhile, trader Merlijn interprets the recent consolidation as a bullish pennant and points to a technical target of $116,000.
Others, including analyst Henry, set their sights even higher, forecasting a $128,000 “blow-off top” should liquidity remain skewed to the buy side.
Macro tailwinds boost sentiment
The rally coincides with risk-on flows in global markets after US CPI eased for a second straight month and the Federal Reserve signaled patience on further tightening.
Institutional demand also remains robust; spot-Bitcoin ETFs recorded a sixth consecutive week of net inflows, with BlackRock’s IBIT alone pulling in more than $1 billion over the period.
On-chain metrics echo the optimism as dormant supply trends upward and active addresses climb to their highest level since March.
Options data from Deribit shows a growing cluster of open interest at $120,000-strike calls for June expiry, underscoring trader conviction that fresh records are imminent.
Still, skeptics warn that funding rates on perpetual futures are near three-month highs, raising the risk of a flush if spot prices stall below resistance.
Even so, the prevailing narrative is that a clean break above $110,000 would drag short sellers into an aggressive round of liquidations, potentially catapulting BTC toward the oft-cited $128,000 ceiling before any meaningful pullback.
