Bitcoin

<p>On December 5, 2024, Bitcoin (BTC) crossed the symbolic threshold of $100,000 for the first time. However, analysts believe that this consolidation around this level will not last long. According to Nick Forster, Bitcoin remains a “meme asset” with “psychological barriers” that attract attention and generate volatility. Should we expect an imminent drop?</p>
<h2 id="h-bitcoin-reaches-100-000-a-psychological-threshold-that-will-not-last">Bitcoin reaches $100,000: a psychological threshold that will not last</h2>
<p>Now that <a href="https://www.cointribune.com/en/bitcoin-reaches-100000-a-historic-milestone/" target="_blank" rel="noopener noreferrer nofollow">the threshold of $100,000 has been crossed</a>, it is unlikely that Bitcoin will stay at this level for long. After reaching a historic high of $73,679 in March, BTC consolidated within a broad range between $53,000 and $72,000 for seven months. Forster explains that these psychological barriers tend to attract new participants to the market and change the opinions of existing investors. This creates increased volatility and additional upside potential, although a sudden drop should not be overlooked.</p>
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<p>However, according to Matthew Hyland, crypto investors have <a href="https://x.com/matthewhyland_/status/1864507702728167625?s=46&amp;t=zj7ICl0Lw9vdTKh741lFIQ" target="_blank" rel="noopener noreferrer nofollow">a window of 3 to 5 months to take advantage</a> of this Bitcoin rise. Futures traders also share this optimism, with $1.54 billion in long positions at risk of liquidation if BTC falls below $100,000. Additionally, Bitcoin’s open interest (OI), an indicator that tracks the total number of unsettled derivative contracts, has increased by 5.14% over the past 24 hours to reach $61.18 billion.</p>
<h2 id="h-an-imminent-drop-of-btc">An imminent drop of BTC?</h2>
<p>After crossing the $100,000 mark, Bitcoin could well experience a sudden drop. This is due to the inherent volatility of cryptos, but also because psychological barriers often attract quick profit-taking and liquidation of long positions. This can then lead to significant price drops in the short term. Investors <a href="https://www.cointribune.com/bitcoin/" target="_blank" rel="noopener noreferrer nofollow">BTC</a> must therefore remain cautious during this period. As Ryan Lee, chief analyst at Bitget, thinks:</p>
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 <p>Looking ahead to 2025, long-term forecasts project Bitcoin setting new all-time highs before altcoins regain attention and traction. Despite these optimistic scenarios, the inherent volatility of the crypto market cannot be overlooked. Investors are advised to remain vigilant and prepared for potential corrections.</p>
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<p>By crossing the $100,000 threshold, Bitcoin marks <a href="https://www.cointribune.com/en/bitcoin-soars-and-takes-back-57-of-the-market/" target="_blank" rel="noopener noreferrer nofollow">a major milestone in its global adoption</a>. However, analysts expect continued volatility and a rotation towards altcoins. Investors must remain vigilant and ready to seize opportunities in this constantly evolving market.</p>

Analysis: Bitcoin At $100,000, What’s Next For Investors?

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