BTC 'Challenge 100,000' dream level? Behind the market frenzy, hidden 'peak and fall' risks

The prediction of 'BTC heading towards $100,000' is causing a stir in the cryptocurrency market. QCP Capital, a Singaporean investment institution, expects that in the coming months, BTC will break through this mythical 'dream level' and even drive other cryptocurrencies to collectively surge, opening up a 'competition coin season' for a comprehensive outbreak. However, some analysts believe that the short-term market volatility risk cannot be ignored.

Earlier this year, BTC was still hovering in a narrow Fluctuation range below $65,000, but with the clarification of the Cryptocurrency policy in the United States after Trump's election, the market's optimism for BTC quickly heated up, with some analysts even setting the target price at "$200,000".

Will the bull market continue and will BTC create another "miracle"?

QCP Capital's trader said: 'With the positive factors at the policy and institutional levels beginning to ferment, Bitcoin surging above $100,000 is no longer just a fantasy.'

They emphasized that despite the capital outflow from BTCSpot ETF last week, the overall market demand for BTC remains strong, and institutional adoption is also steadily increasing.

The ongoing bull market of BTC has also attracted 'big buyers', including well-known supporters such as MicroStrategy and Metaplanet, who announced this week that they would increase their purchases of BTC.

MicroStrategy currently holds 331,200 BTC, accounting for 1.5% of the total BTC supply, becoming a true "BTC Large Investors".

Is the peak season of competitive coins coming?

According to QCP's prediction, after BTC rises to $100,000, the market focus will shift to other cryptocurrencies, ushering in the "season of competing coins". Currently, BTC's market capitalization accounts for about 60%, once it falls below 58%, the market may witness a comprehensive outbreak of competing coins.

In addition, they also believe that the Trump administration's Crypto Assets-friendly policies, as well as the Federal Reserve's (Fed) upcoming interest rate cuts, will further boost market vitality. It is worth noting that after Trump's election, Wall Street analysts have also raised their target price for Bitcoin, even believing that Bitcoin could reach $200,000.

According to the latest data from JPMorgan, retail investors' optimism towards Crypto Assets has also reached a new high, indicating that small professional investors are accelerating their entry.

Crisis Looming: Risks of Bubbles and Market Volatility

However, not everyone is optimistic about the future of Bitcoin, as market enthusiasm is often accompanied by risks. Augustine Fan, market insights director at SOFA, warned:

We believe that the 'honeymoon period' of this BTC rally has come to an end, and the next market trend will be 'more challenging'. The market may experience more intense volatility, and even face the risk of pullback.

Augustine Fan further mentioned that the market sentiment is currently in an extremely exuberant state, and it is not ruled out that there will be a possibility of a 'blow-off top' in the near future.

'FOMO and big dump' is often seen in the Technical Analysis chart, meaning that the asset price suddenly surges before the market bubble peaks, then immediately big dump. This is a warning sign that investors need to pay close attention to.

CoinDesk senior market analyst Omkar Godbole warned that BTC could "retest its previous all-time high of about $69,000" if the market "peaks and pullbacks" in the near future, and that BTC could fall further as the market moves into a typical Bear Market pullback pattern, with as low as "testing the $60,000 low range."

WeFi co-founder Maksym Sakharov also believes that after BTC broke through the historical high point of $90,000, the volatility has gradually eased.

He mentioned that the Fed's current attitude has a big impact on the direction of the market: "If the Fed continues to adopt hawkish policies, BTC may become less attractive."

The challenge of BTC reaching $100,000 seems to be the peak of market confidence, but the short-term market volatility risk cannot be ignored. In the midst of optimistic forecasts and risk warnings, investors need to be more cautious in order to stand undefeated in this 'ultimate bull market'.

The article "BTC 'Challenge 100,000' Dream Level? Behind the market frenzy, there is hidden 'peak and fall' risk" was first published on Blockcast.