Bitcoin has surged past $118,000 following a liquidity-driven dip below $115,000, igniting bullish sentiment among traders. The rebound signals robust upward momentum as analysts identify $120,500 as the next critical resistance level. A decisive breach above $120,000 could trigger significant short liquidations, accelerating upward movement.
Prominent market analyst Tom Lee has forecasted Bitcoin reaching $200,000-$250,000 by year-end. His projection draws parallels between Bitcoin’s growing market capitalization and gold’s valuation, alongside recent regulatory advancements such as the Genius Act. This legislative progress is expected to enhance institutional participation in digital asset markets.
Institutional adoption and clearer regulatory frameworks continue driving Bitcoin’s long-term growth trajectory. Technical evaluations indicate the cryptocurrency could potentially initiate a breakout toward the $200,000 threshold in the near term as market structures strengthen amid increasing liquidity and positive sentiment.