Market Direction

$107K resistance challenges Bitcoin bulls

Published: Jan 24, 2025

As Bitcoin ($BTC) clings to $100K support and tests $107K resistance, market participants await a decisive move. Let’s explore the latest analysis to uncover what’s next for BTC and the broader crypto market.

Disclaimer: This is not financial or investment advice. You are responsible for any capital-related decisions you make, and only you are accountable for the results.

BTC:

BTC's Open Interest by number of coins has generally turned a tad lower over the last few days. We had a move-up in OI going into the inauguration, but that's tapered off slightly since.
The Funding Rate is at 0.004%, indicating there is an even balance between Longs and Shorts currently.

BTC's open interest (by number of coins):

1. Graph showing Bitcoin (BTC) futures open interest and price movement over time, highlighting recent trends in market activity.

Technical analysis

Price has broken out of the downtrend line and is now range-bound between the horizontal support of $98,900 (and the psychological level of $100,000) and the horizontal resistance of approximately $107,000.
We've also had a breakout of the downtrend line on the RSI, but that has also become range-bound whilst also putting in a bearish divergence (higher high in price, lower high on the oscillator). Although, it isn't in or close to overbought territory.
The key support zone is between $98,900 and $100,000.
$107k to $108k is the breakout zone to watch out for.

2. Technical chart for Bitcoin (BTC) displaying key resistance, support levels, and RSI trends for price analysis.

Get the latest Bitcoin price prediction—dive into our detailed analysis to stay one step ahead!

Next Support: $100,000
Next Resistance: $107,000
Direction: Neutral
Upside Target: $107,000
Downside Target: $98,900

Cryptonary's take

It's been very tricky trading BTC this week with the market feeling weak at times, but also knowing that any positive pro-Crypto Executive Order could be dropped by Trump at any moment.

We've seen a price rally on positive news, but it has had a decreasing effect as the week has gone on. The market had also pulled back when the news was released, and it essentially wasn't the Strategic Bitcoin Reserve. However, each time, the price has seemingly comfortably held the lows of $100k - $101k and bounced relatively swiftly.

Ultimately, this range will probably resolve itself soon. The market at times has felt weak, and the rallies into positive news have faded, which feels like a sign of exhaustion. But, on the other hand, the price comfortably held the lows when it pulled back.

BTC is very evenly balanced here, and direction is really difficult to call. We'd expect that when there is a breakout or a breakdown, it'll likely be a relatively big move in that direction. But calling the directions is super hard here.