Will Bitcoin Break Through the $70,000 Wall? “Just Like Right Before the $100,000 Breakout”

▲ Bitcoin (BTC)

Bitcoin (BTC) has reached an inflection point as it compresses energy within a narrow trading range, with technical indicators simultaneously signaling easing downside pressure and a strong rebound signal, raising expectations for a breakout above $70,000.

According to cryptocurrency media outlet Cointelegraph on February 19 (local time), Bitcoin has been moving sideways between $65,000 and $70,000, approaching the tail end of its downtrend. Virtual asset analysts noted that recent charts show a bullish divergence, where prices are making lower or stable lows while the Relative Strength Index (RSI) is forming higher lows. This is interpreted as a sign that short-term selling pressure has reached its limit and that a strong directional shift could occur soon.

Market participants are closely watching whether Bitcoin can break above the $68,000 level. If it surpasses this price range decisively, analysts expect a steep rally toward the resistance zone near $71,500. Optimism is also evident in the derivatives market. Despite Bitcoin drifting lower over the past two days, open interest increased by about 3%, rising from $15.1 billion to $15.5 billion, supporting the inflow of new long positions.

Virtual asset analyst Amr Taha stated that Binance’s Bitcoin futures indicators have entered a historically undervalued zone similar to the first half of 2024. Taha pointed out that when the indicator previously shifted from negative to positive territory, Bitcoin surged past the $100,000 mark. He suggested that the current negative readings could instead serve as an inflection point for a powerful rebound. Funding rates for futures traders have also edged up to 0.046%, signaling preparation for a potential transition into a bullish market.

Market conditions are also improving from a supply-demand perspective. Since February 15, approximately $250 million in long positions have been liquidated, clearing excessive leverage from the market. With debt flushed out, a cleaner market structure has formed, creating optimal conditions for minimizing resistance during price increases. Analyst Dom added that the order book between $66,000 and $69,000 is thinning, meaning that even a small catalyst could trigger a sharp price breakout.

Bitcoin is now taking a final breather in its attempt to overcome the formidable $70,000 barrier. Liquidity clusters concentrated around the lower bound of $66,000 and the upper bound of $71,000 are seen as key battlegrounds that will determine the market’s next direction. Market participants anticipate that the dissipation of selling pressure and the full-scale inflow of substantial capital could mark the decisive moment for Bitcoin to reclaim its previous all-time high and enter a new price era.

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