Bitcoin Analysis: BTC Holds $100K Amid Record Inflows and Bullish Forecasts

Bitcoin (BTC) has regained the $100,000 price level after briefly dipping below $95,000 earlier in the week. 

This recovery coincides with reports of rising capital inflows into the crypto market, indicating sustained interest from investors.

On December 6, Bitcoin crossed the $100,000 threshold for the first time, marking a major milestone in cryptocurrency history. 

As of press time, Bitcoin was trading at $100,125 with a 24-hour trading volume of $96.54 billion. While it has seen a slight 0.91% decline over the past day, Bitcoin has gained 1.66% over the last seven days. 

The circulating supply stands at 20 million BTC, giving it a market capitalization of $1.98 trillion.

Price Indicators Suggest Potential Movement

An analysis of Bitcoin’s price using Bollinger Bands shows that it is consolidating near the $100,000 level. The price is pressing against the upper band, while the narrowing bands signal reduced volatility. 

This pattern often precedes significant price movements, suggesting a potential breakout in either direction.

Source: TradingView

The MACD indicator shows signs of weakening bullish momentum as the MACD line approaches the signal line. A bearish crossover could indicate a correction if confirmed. However, Bitcoin remains above the midline of the Bollinger Bands, maintaining a bullish bias unless key support levels fail.

Institutional Capital Drives Market Growth

CryptoQuant CEO Ki Young Ju reported that Bitcoin is attracting approximately $80 billion in new investments monthly. This influx of capital is fueling unprecedented growth in the cryptocurrency market. 

Data shows that nearly half of all funds invested in Bitcoin since its inception in 2009 were added in 2024, reflecting a surge in institutional and retail demand.

Source: X

The Bitcoin Realized Cap, which measures the value based on the price at which each coin last moved, has risen to $768 billion. This metric provides a clearer view of the capital invested in Bitcoin, focusing on actual transactions rather than speculative market value.

Strong Profit Metrics Reflect Market Strength

On-chain analytics firm Glassnode reported that Bitcoin’s cumulative realized profits have reached $1.27 trillion. This data points to significant investor engagement and highlights the ongoing activity within the market.

A report by Matrixport forecasts that Bitcoin could reach $160,000 by 2025. The report attributes this potential growth to improving macroeconomic conditions, rising demand for Bitcoin exchange-traded funds (ETFs), and increasing global liquidity. 

Citing sustained interest and a favorable economic backdrop, Matrixport stated, 

“Our projections indicate that Bitcoin could reach $160,000 in 2025.”

Analysts Highlight Support Levels and Demand

Crypto analyst Michaël van de Poppe emphasized the importance of Bitcoin maintaining support above $98,000 to sustain upward momentum. He noted,

“if Bitcoin holds above $98,000, we’re good to go.”

Bitcoin’s record-breaking capital inflows and rising realized profits suggest a strong foundation for long-term growth. 

FAQs:

What caused Bitcoin to regain the $100,000 price level?

Rising capital inflows, driven by institutional and retail demand, supported Bitcoin’s recovery above $100,000.

What is Bitcoin’s realized cap, and why is it important?

The realized cap, now $768 billion, measures the value based on actual transaction prices, reflecting true investment levels.

What is the Bitcoin price prediction for 2025?

Analysts forecast Bitcoin could reach $160,000 by 2025, citing ETFs, liquidity growth, and favorable macro trends.