Bitcoin Analysis: $102K Breakout or Correction? Schiff Calls BTC a Threat

Bitcoin’s (BTC) price remains at a critical juncture, with its price at $98,636.18 at press time, down 0.73% in the last 24 hours. 

Despite this decline, the crypto has gained 3.74% over the past week. 

Analysts and market participants are closely watching for a potential breakout above $102,000, which could propel Bitcoin toward new highs, while cautioning about a possible retracement that could affect the broader crypto market.

Analyst Suggests Bearish Divergence and Key Levels for Bitcoin

Crypto analyst Michaël van de Poppe has raised concerns over a potential bearish divergence in Bitcoin’s price action. He stated that breaking the $102,000 level is crucial for the crypto to sustain its upward trajectory, potentially leading to a surge toward $110,000 to $120,000. However, a failure to maintain momentum could trigger a correction.

Source: Michaël van de Poppe, X

Van de Poppe also noted that a retracement could result in a “flash crash” in altcoins, possibly setting the stage for an altcoin rally or “altseason” afterward. 

Key support zones have been identified at $82,000-$84,000 and $71,234-$73,000, which could provide strong buying opportunities if the price retreats.

Market Trends and Indicators Signal Uncertainty

Technical indicators show mixed signals for Bitcoin. The Bollinger Bands suggest a period of reduced volatility, with the crypto trading near the middle band ($97,135). Analysts have noted that holding this level is crucial to prevent a potential test of the lower band at $92,618.

Source: TradingView

The Moving Average Convergence Divergence (MACD) indicator shows a bearish crossover, reflecting waning bullish momentum. 

This sentiment is further confirmed by a declining histogram, which indicates that selling pressure may increase in the short term. 

A strong recovery above $101,000 is needed to reverse this trend and restore confidence among investors.

Peter Schiff Labels Bitcoin a “National Security Threat”

Gold advocate and longtime Bitcoin critic Peter Schiff has once again voiced his skepticism regarding the crypto. In a recent post on X, Schiff described Bitcoin as a “national security threat,” accusing it of being used to bribe government officials. He added, 

“Bitcoin is now public enemy number one.”

Schiff also criticized Bitcoin for diverting resources from productive sectors, stating that it contributes to inefficiencies in the economy. His remarks have added to ongoing debates about Bitcoin’s role in the financial system, especially as institutional adoption continues to grow. Notably, Bitcoin exchange-traded funds (ETFs) are now reported to hold more Bitcoin than the estimated 1.1 million BTC mined by its creator, Satoshi Nakamoto.

Bitcoin’s price movements and growing adoption continue to dominate financial discussions, with analysts and critics closely monitoring its impact on the market.

FAQs:

What is the significance of the $102,000 level for Bitcoin’s price?

The $102,000 level is a key resistance point. Breaking it could propel Bitcoin toward $110,000–$120,000, according to analysts.

What could happen if Bitcoin fails to maintain momentum above $102,000?

A failure to break $102,000 could trigger a correction, with possible support levels at $82,000–$84,000 and $71,234–$73,000.

Why did Peter Schiff label Bitcoin a “national security threat”?

Peter Schiff claimed Bitcoin is used to bribe government officials and argued it diverts resources from productive sectors, calling it “public enemy number one.”