Bitcoin Surpasses $100,000: A Key Psychological Barrier

Bitcoin (BTC) has recently broken above the $100,000 mark, a level not seen as early February. This surge follows a period of consolidation, where the cryptocurrency traded within a relatively narrow range.While still approximately 5% below its all-time high of $108,786 recorded on January 20th, this upward movement represents a significant recovery from the $74,508 low reached on April 6th, marking a rebound of over 20%.

This price action has prompted analysts to examine various indicators for confirmation of a sustained bullish trend.

On-Chain Analysis Suggests Potential for Strong Conversion

Burakkemeci, an analyst at Cryptoquant, highlights early signals indicating a possible strong market conversion. According to Burakkemeci, the breach of the $100,000 barrier is significant. Bitcoin broke over $100,000, and the strong signal appeared in a few weeks. This signal is currently weak (coefficient: 0.029), but it is indeed encouraging that a positive shift has occurred.

Cryptoquant’s “Strong-Weak Market Indicator” is an on-chain tool designed to gauge long-term market sentiment by comparing price momentum and investor behavior. It utilizes 30-day and 365-day moving averages (MAs) to identify transitions between strong and weak market phases. The recent uptick in the 30-day moving average is particularly noteworthy. If this indicator surpasses the 365-day moving average, it could signal the beginning of a parabolic upward trend for Bitcoin.

Macroeconomic Factors Fueling Optimism

Adding to the bullish sentiment, Julien Bittel, Macro Research Director at Global Macro Investor, points to the increasing global M2 money supply as a potential catalyst for Bitcoin’s price thankfulness. The world’s liquidity has been increasing rapidly since early 2025. Bitcoin is likely to rise accordingly. This viewpoint suggests that broader economic conditions are creating a favorable environment for Bitcoin’s growth.

Currently, global M2 money supply has seen a 15% increase year-to-date, according to data from the International Monetary Fund (IMF), potentially driving investors towards assets perceived as hedges against inflation, such as Bitcoin.

Cautionary notes: Overbought Conditions and Demand Momentum

Despite the positive indicators,some analysts urge caution. Concerns exist regarding the potential for a short-term peak formation due to aggressive profit-taking. There are also questions about whether Bitcoin’s demand momentum is sufficiently robust to sustain a prolonged rally. Some experts suggest that the current market dynamics may be indicative of a late-stage market cycle or a period of macro coordination.

Moreover, Bitcoin’s Stochastic Relative Strength Index (RSI) hints at the possibility of renewed strong momentum, but also suggests that the asset might potentially be entering overbought territory, which could lead to a price correction.

Current Market status

As of today, Bitcoin is trading at approximately $100,344, reflecting a 4% increase over the past 24 hours. Investors and analysts alike are closely monitoring these developments to determine whether this recent surge marks the beginning of a sustained bull run or a temporary rally within a broader consolidation phase.