Bitcoin Surges 11% to New All-Time High of $119,444

Bitcoin (BTC) reached a new all-time high on Sunday, surpassing $119,000. This milestone was achieved as the cryptocurrency's price volatility increased during the weekly close. The BTC/USD pair hit $119,444 on Bitstamp, eclipsing its previous record peak from two days prior. This surge liquidated shorts, with data from monitoring resource CoinGlass putting short BTC liquidations at over $20 million in a single hour.

Traders and analysts are closely monitoring key price areas of interest, including a support test of $115,000. Popular trader Daan Crypto Trades highlighted two key liquidation-related zones to watch next: $115,500-116,500 and the area above $120,000. He noted that the market is entering an interesting phase with significant liquidity clusters above and below the current price.

Trader and investor Niels, cofounder of Web3 accelerator and incubator Ted Labs, also commented on the situation. He identified a major resistance level between $119,000 and $120,000, suggesting that if BTC manages to break above $120,000, the path towards $135,000-$140,000 could open. However, he also cautioned that in case of a rejection, BTC could retest $114,000-$115,000 before reversal.

Other traders remain optimistic about Bitcoin's immediate outlook. BitBull, for instance, pointed out that there is no reason to be bearish on BTC given the strongest weekly breakout since November 2024, which led to a 50% pump last time. He flagged multiple bullish catalysts impacting Bitcoin, including record institutional inflows and the upcoming US “Crypto Week.”

Popular trader and analyst Rekt Capital added that the first week in Bitcoin's Price Discovery Uptrend 2 is slowly coming to an end, with the second week beginning the next day. He noted that the first Price Discovery Uptrend lasted 7 weeks, suggesting a similar duration for the current uptrend.

Despite the bullish sentiment, some analysts have noted signs of weakness. Bitcoin formed a higher high around the $118,233 zone, which could potentially lead to a reversal targeting $114,000. However, the overall sentiment remains bullish, with traders optimistic about the cryptocurrency's prospects in the coming weeks. The new all-time high is a testament to Bitcoin's growing acceptance and adoption, as well as its potential as a store of value and a hedge against inflation.