Bitcoin (BTC) is approaching its all-time high, trading above $107,000 as of Tuesday morning, with analysts predicting further gains. Futures open interest reached a record $75 billion on major exchanges on Tuesday, indicating increased speculative activity. This rally is supported by BTC holding above $100,000 for over 11 days, suggesting accumulation at these levels.
According to Ruslan Lienkha, chief of markets at YouHodler, the current price action appears to be a consolidation phase, potentially setting the stage for a new all-time high. On Tuesday morning, Bitcoin was trading above $107,500, up nearly 1.5% over the past 24 hours. Ether (ETH) and Solana's SOL increased by 2%, while dogecoin (DOGE), Cardano's ADA, and xrp (XRP) rose by 3%.
Derivatives data supports a bullish outlook, with the call-to-put open interest ratio reaching 1.55 this past weekend. Premiums for out-of-the-money calls have also risen, signaling traders are positioning for a breakout, according to HTX Research's Chloe Zheng in a weekend update. Short-term implied volatility (IV) dropped to an 18-month low of 35-40%, indicating a relatively calm market despite rising positioning, as reported by HTX. HTX Research noted in their weekend update that Bitcoin could retest new highs within 30-45 days.
Resistance at the $107,000 level has held for now. FxPro analyst Alex Kuptsikevich noted that the market is driven by retail investors and momentum traders. Kuptsikevich added that breaking the $107,000 resistance could open a path toward $115,000.
This article is based on our author's analysis of materials taken from the following resources: CoinDesk.