Bitcoin, if it surpasses $90,000, will hit a new high within the year

▲ Bitcoin (BTC)

Bitcoin (BTC) appears to be stuck in a box range in the early $70,000s, but analysis suggests it is rather a compression phase before an upward breakout.

According to the investment media outlet FXLeaders on April 11 (local time), Bitcoin rose 1.58% amidst Middle East tensions, reaching $72,340, and has been fluctuating within a narrow range between $70,000 and $72,000 in recent days.

Despite the short-term sideways movement, the trend still leans towards an upturn. The 7-day increase rate is 8.16%, indicating a gradual recovery from the sluggish trend since last year's high. However, the 4-week increase rate is only 4.42%, suggesting a somewhat slowed pace of ascent.

The market does not expect this box range to last long. Bitcoin is highly likely to quickly determine its direction based on changes in external variables, with the Middle East situation specifically identified as a key factor. If a ceasefire is maintained, further upside potential to $75,000 is discussed, but there is also caution that the uptrend could be broken if the conflict reignites.

The current upward trend is coupled with the overall bullishness of the cryptocurrency market. The total market capitalization increased by 1.19% in one day, reaching $2.45 trillion, and Bitcoin's trading volume also rose by over 8% in 24 hours to approximately $40.3 billion. It even broke above $73,000 at one point during the day, testing resistance.

However, the approximately 19% drop compared to the beginning of the year remains a burden. The market views breaking above $90,000 as a key turning point that will determine future direction, with forecasts suggesting that surpassing this level could open up the possibility of strong market sentiment recovery and a new all-time high within the year.

*Disclaimer: This article is for investment reference only, and we are not responsible for any investment losses based on it. The content should be interpreted for informational purposes only.*