Bitcoin Hits $100K: Breakout or Fakeout?

Bitcoin (BTC) has officially reached the historic $100,000 mark, a major psychological and technical milestone in the crypto market. This surge follows months of price consolidation and volatile swings, drawing intense scrutiny from traders watching for a decisive breakout or potential rejection at this key resistance level.

Currently, BTC is forming a bullish cup and handle pattern on the daily chart. The rounded base formed between January and April suggests solid accumulation, and if the current pause shapes a proper handle, a breakout above $100,000 could validate the pattern. If confirmed, bullish momentum may drive Bitcoin toward $105,000 and $110,000 in the short term.

However, caution remains. Despite the new all-time high, trading volume has not increased significantly—raising concerns about potential short-term exhaustion. The Relative Strength Index (RSI) is hovering above 70, signaling overbought conditions. This could lead to a temporary pullback toward support levels around $92,000 or $89,000, aligning with the 100-day EMA.

Still, Bitcoin’s long-term uptrend remains intact as long as it holds above these critical moving averages. The $100,000 level represents more than just a round number—it’s a gateway that will shape market sentiment in the coming months. Whether BTC confirms the breakout or faces a rejection, this zone will be pivotal in determining the next phase of the bull cycle.