Bitcoin (BTC/USD) is trading at $99,280, gaining around 1% on Monday as optimism grows ahead of President-elect Donald Trump’s inauguration on January 20. The rally, driven by positive sentiment and institutional demand, faces potential headwinds from the Federal Reserve’s January 29 FOMC meeting.
Markus Thielen of 10x Research expects a temporary pullback before the release of U.S. CPI inflation data on January 15. “Bitcoin could consolidate near $97,000 before the FOMC meeting adds fresh volatility,” he said.
Analysts broadly project Bitcoin to close January between $97,000 and $98,000, though some anticipate a rally above $125,000 by the end of Q1 2025.
MARA Holdings’ BTC Lending Program Sparks Debate
Bitcoin mining firm MARA Holdings has lent 7,377 BTC (valued at $722 million) to third parties in a short-term yield strategy aimed at offsetting operating expenses. The program has increased MARA’s total Bitcoin reserves to 44,893 BTC and boosted its mining hashrate by 15% to 53.2 EH/s.
While this financialization strategy enhances Bitcoin’s liquidity, concerns about potential risks remain. Observers compare MARA’s lending approach to the risky practices that contributed to crypto bankruptcies in 2022. These risks could dampen the bullish sentiment surrounding Bitcoin’s current rally.
Metaplanet’s Aggressive Accumulation Plan Signals Institutional Confidence
Tokyo-based venture capital firm Metaplanet plans to increase its Bitcoin holdings by 467%, targeting 10,000 BTC by 2025. Currently holding 1,762 BTC ($173.4 million), the company aims to leverage capital markets to drive global Bitcoin adoption.
Analysts believe Metaplanet’s move could bolster demand and support Bitcoin’s price trajectory, with predictions of a $200,000 price tag by 2025 if institutional adoption accelerates under a crypto-friendly U.S. administration.
Bitcoin (BTC/USD) Daily Technical Outlook – January 6, 2025
Bitcoin (BTC/USD) is trading at $99,280 on the 4-hour chart, breaking above a descending trendline and signaling a potential bullish continuation.
The pivot point at $98,100 now acts as immediate support, while resistance levels are seen at $100,000, $102,000, and $105,000.
These levels align with psychological barriers and Fibonacci retracement targets, capping the broader recovery.
The 50 EMA at $96,900 reinforces the bullish sentiment, acting as dynamic support. Meanwhile, the RSI is approaching overbought levels, suggesting the possibility of a short-term pullback.
A dip toward the $98,100 pivot could invite fresh buyers, while a break below $95,500 would invalidate the bullish outlook.
Bitcoin’s next move hinges on its ability to hold above $100,000. A decisive close above this level could accelerate buying momentum, targeting $102,000 and $105,000. On the downside, support at $95,500 remains critical for maintaining bullish sentiment.
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