Bitcoin’s 10% ‘god candle’ hints at $130K next — Analyst
2025.01.20 04:31
Bitcoin hit flash volatility on Jan. 20 at the start of the European trading session to hit an all-time high of $109,356 on Bitstamp.
Bitcoin’s (BTC) price climbed from below $100,000 on Jan. 19, rising as much as 9.6% to trade above $109,000 for the first time ever.
Data from Cointelegraph Markets Pro and TradingView showed BTC trading at around $108,000 at the time of writing, up 3.3% over 24 hours.
BTC/USD daily chart. Source: Cointelegraph/TradingView
Bitcoin triggers OI increase with a “god candle”
Data from Cointelegraph Markets Pro and TradingView confirmed BTC/USD reached its highest-ever levels after “teleporting” over $7,200 in 60 minutes.
Bitcoin just teleported up from $103k to $108k
Kinda wild pic.twitter.com/mLrmdGheMw
— Stephan Livera (@stephanlivera) January 20, 2025
This came just hours before US President-elect Donald Trump was to be inaugurated and returned to office for his second term.
Over the weekend, this led to a wild ride in the crypto industry when Donald Trump launched his own memecoin Official TRUMP (TRUMP), achieving a market cap of as high as $20 billion in only two days to rank among the top 15 on Jan. 19.
This sent shockwaves across the crypto market, which continued when his wife, Melania Trump, launched her own memecoin, causing TRUMP and other cryptocurrencies to drop.
BTC has, however, made an “impressive comeback” and is “once again flirting with all-time highs after a rollercoaster of a week that showcased the cryptocurrency’s trademark volatility,” said pseudonymous analyst Ferozwala.
The rally reversed what had previously been a drop of over $3 billion on open interest. Data from monitoring resource CoinGlass showed an increase of around $4.74 billion as BTC price rebounded.
Exchange Bitcoin futures OI. Source: CoinGlass
The turn-around in BTC’s price action has also sparked massive liquidations across the crypto market, with more than $52 million short BTC positions being liquidated in less than one hour.
Related: BTC price nears $110K after Trump Bitcoin reserve odds spike to 60%
Bitcoin price could be headed above $130K
While many expected Trump’s inauguration to take Bitcoin to new all-time highs, trader and analyst Jelle is optimistic that the time may have come for a run-up to “mid $130Ks.”
“Bitcoin broke out from the descending triangle, retested it — and bounced straight to new all-time highs,” the analyst said in a Jan. 20 post on X.
Jelle was referring to a triangle that has been in formation since mid-November. The price broke above the triangle’s resistance line on Jan. 17, signaling the start of a bullish move upward.
“Target of this move is somewhere in the mid $ 130k.”
BTC/USD daily chart. Source: Jelle
For fellow analyst Daan Crypto Trades, Bitcoin’s rise to new record highs after swiftly closing a “small CME gap” it had earlier opened marked a “good start” to an interesting week.
$BTC Opened up with a small CME gap today but closed that straight away and went straight to new all time highs.
Good start of the week, which is going to be a very interesting one. pic.twitter.com/89HuFW83WD
— Daan Crypto Trades (@DaanCrypto) January 20, 2025
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
