Bitcoin’s price has increased by $3,800, which is a 3.54% rise, bringing it to $109,555. Today, it reached a high of $109,802, the highest since June 11. This rise puts the price close to its all-time high of nearly $112,000, just $2,500 away. The lowest price in June was $98,240, indicating a recovery since then. After Bitcoin climbed above $100,000 on May 8, it fell below this mark only three times, and there haven’t been any daily closing prices under $100,000 since May 7. Traders are now targeting price levels of $110,500 and $112,000 for their next objectives. This recent price increase shows that Bitcoin is in a much stronger technical position than just a few weeks ago. The break above the significant $100,000 level—tested several times in the past month—has held firm. Any dips below this level were short-lived, and notably, daily closes have always remained above it. This stability suggests strong support from buyers who step in during any price drops. Looking at the weekly trends, we are testing highs not seen since early June. The previous rejection around $110,000 was sharp, but the market showed little weakness below $100,000, indicating strong demand. The brief pullbacks are important now as the price approaches past resistance levels. We are at a point where traders must decide whether the price will continue to rise or drop suddenly. Huang’s target of $110,500 aligns with significant changes in open interest for both options and futures. A solid move above this point could open up further upside potential and may trigger shifts in delta hedging. If this level is broken, we could be close to reaching the all-time high. If liquidity remains limited, any breakthrough could be exaggerated, especially if stop losses or short positions aren’t properly managed. Looking deeper, many traders are reducing their downside protection, indicating they are growing more confident in a bullish trend. This may be risky if the price stalls here, so we need to watch whether short-term contracts begin reintroducing protective puts or lean more into positive setups. Unlike the late-April surge, there hasn’t been a rapid increase in perpetual funding rates. While they have risen gradually, this suggests more spot buyers are entering the market, balancing long and short positions better. This is a positive sign for the sustainability of the price strength. Smith noted that open interest is gathering between $110,000 and $112,000, which may act as price magnets if premiums remain strong across different expirations. There could be opportunities for premium harvesting on options that are slightly out of the money. Going forward, we might experience slow upward movement rather than a sharp rally, unless liquidity tightens before expiration. Moving ahead, we need to maintain discipline—especially for those with shorter contracts. It is wiser to manage risk closer to key levels rather than simply hoping for a breakout. If we see daily closes above $110,500, clearer trades could be taken with defined upside targets. Otherwise, the decay of premiums could create challenges for misaligned positions. In the meantime, monitoring volume at key price levels and tracking delta flows for the most popular call options may provide early insights. If intraday trading starts to favor one direction heavily, it could lead to sustained trends or the risk of a sharp correction if traders are positioned incorrectly.

here to set up a live account on VT Markets now