Bitcoin’s breakout to $94K signals strength—but resistance is holding firm. Institutional buying and ETF inflows hint at deeper conviction behind the move. A close above $94,250 could open the floodgates to $100K—if caution doesn’t spoil the party.
Looking for actionable trade ideas to navigate the current market volatility? Subscribe here to unlock access to InvestingPro’s AI-selected stock winners. Bitcoin broke through its average resistance level of $87,000 at the beginning of the week, reaching a second critical resistance at $94,000.
This breakout to the upside follows a period of consolidation and coincides with emerging optimism regarding the global economy. Currently, Bitcoin appears to be pausing near the $94,200 level, which corresponds to the 0.618 Fibonacci retracement of the recent downtrend. This same level also served as a key support zone during the rally in the final quarter of 2024.
As such, the $94,000 region remains highly significant for determining the next direction of the trend. A weekly close above $94,250 would offer a solid technical foundation for continued upside movement. The next target could be the $99,500 level, where the 0.786 Fibonacci retracement lies.
On the other hand, although moderate progress was made this week regarding global tariff discussions, there’s still no concrete resolution. Therefore, while Bitcoin has rallied to the $94,000 level by pricing in recent developments, further upward momentum may require additional positive catalysts. One encouraging factor is Bitcoin’s declining correlation with traditional stock markets.
Instead, it has begun to trade more in line with safe-haven assets such as gold. This shift has allowed the cryptocurrency to sustain a positive trajectory throughout April and recover from the downward trend seen in the first quarter of the year.a Bitcoin Confidence Rebounds on Strong Accumulation Since the second half of April, Bitcoin’s rise has been supported by strong purchases from large investors. Blockchain data indicates that wallet addresses holding between 10 and 10,000 BTC accumulated a total of 19,000 BTC during the recent price surge.
This points to growing confidence among long-term holders. In addition, the amount of Bitcoin withdrawn from cryptocurrency exchanges has also increased. Since November 2024, more than 425,000 BTC have been removed from exchange platforms, pushing total exchange supply down to its lowest level since 2018.
This trend signals reduced selling pressure and a more bullish long-term outlook. Positive signals are also emerging from the crypto ETF market—one of the primary drivers behind Bitcoin’s current momentum. Data shows that $2.2 billion flowed into spot Bitcoin ETFs this week alone.
This surge in institutional demand has significantly boosted liquidity in the market and reinforced bullish expectations.