Bitcoin Supercycle Rally Targets $135,000 Amid Bullish Momentum

Bitcoin has initiated a significant supercycle rally, breaking past key resistance levels and setting sights on a $135,000 target amid strong bullish momentum. This rally is supported by various technical indicators, including the Market Value to Realized Value (MVRV) ratio, the Relative Strength Index (RSI), and the Moving Average Convergence Divergence (MACD). These indicators collectively signal that Bitcoin’s upward trajectory is in its early stages, with substantial growth potential remaining.

The recent breakout above its previous all-time high near $104,400 has confirmed a robust bullish phase, ending the recent downtrend. The price has held firm during retests, demonstrating strong market support. Analyst Mr. Wall Street emphasizes that Bitcoin’s current trajectory targets a range between $135,000 and $140,000, a zone characterized by a significant liquidity pool where over $45 billion in short positions are vulnerable to liquidation. This dynamic is expected to intensify buying pressure as market participants rush to cover shorts, further propelling Bitcoin’s price upward.

Beyond technical momentum, macroeconomic developments are playing a pivotal role in Bitcoin’s surge. The recent increase in the U.S. federal debt ceiling signals ongoing expansion of national debt and monetary supply. Historically, fixed-supply assets like Bitcoin have benefited from such environments, as rising M2 money supply often leads investors to seek alternatives that preserve value. This macro backdrop enhances Bitcoin’s attractiveness as a hedge against inflation and currency debasement, further fueling demand and supporting its price rally toward and beyond the $140,000 mark.

Looking ahead, Bitcoin may experience a brief retest around the $112,000 level, though it could also bypass this consolidation phase and continue its ascent uninterrupted. The immediate target remains the $135,000 resistance zone, followed by a more ambitious range between $160,000 and $170,000. Achieving these levels would trigger additional short squeeze events, potentially liquidating upwards of $70 billion in short positions. Market makers are acutely aware of these liquidity pools and are likely to drive price action toward these targets swiftly. The exhaustion of sellers at current resistance levels further strengthens the bullish case, indicating that the path of least resistance is upward.

Bitcoin’s confirmed breakout and entry into a supercycle rally are underpinned by strong technical indicators and favorable macroeconomic conditions. The convergence of these factors points to substantial upside potential, with key liquidity zones poised to accelerate price gains through short seller liquidations. Investors should monitor these developments closely, as Bitcoin’s trajectory suggests a sustained bullish phase with targets well above previous all-time highs. Maintaining a disciplined approach and staying informed on market signals will be essential for capitalizing on this evolving opportunity.