Bitcoin Trades Sideways After Reaching $111,900 All-Time High

Bitcoin has been trading sideways since reaching a new all-time high of $111,900 in May. Analysts have differing opinions on whether the cryptocurrency will rally to $120,000 or drop below $100,000 in the near future. Decode, a crypto analyst, predicts that Bitcoin could drop to as low as $96,500 this month before rallying to a new all-time high of $120,500 by the end of July. This prediction is based on an ABC wave analysis of the current price action.

Decode's analysis suggests that the drop to $96,500 would be part of a Wave B corrective move, followed by a Wave C impulsive move to the upside. This aligns with veteran trader Peter Brandt's prediction that Bitcoin could reach as high as $150,000 by late summer. However, KillaXBT, another crypto analyst, has predicted that Bitcoin could hit the $120,000 target by mid-June, coinciding with the June FOMC meeting. A Fed rate cut could serve as the catalyst for such a rally, although market participants are not expecting a rate cut.

Titan of Crypto, another analyst, suggested that a breakout could be imminent for the Bitcoin price. He noted that Bitcoin is progressing inside a 4-hour falling wedge, which indicates a bullish reversal pattern. If confirmed, the breakout could target the $107,500 and $109,500 zones, which are the Fibonacci confluence areas. Kevin Capital, another analyst, highlighted the solid V-shape recovery for the Bitcoin price after it dropped to as low as $100,000 on May 5. However, he noted that Bitcoin's rebound back to the $105,000 zone won't matter until it breaks above the $106,800 level.

At the time of writing, the Bitcoin price is trading at around $105,000, up over 2% in the last 24 hours. The differing opinions among analysts reflect the uncertainty surrounding the future direction of the Bitcoin price. While some analysts predict a rally to new all-time highs, others predict a drop below $100,000. The outcome will depend on various factors, including market sentiment, regulatory developments, and macroeconomic conditions.