Bitcoin’s rally continues to make headlines, as the leading cryptocurrency inches closer to the $100,000 mark. Early Thursday, Bitcoin price touched an all-time high of $97,500 according to Coinmarkecap, marking another milestone in a historic bull run driven by optimism surrounding a pro-crypto government and innovative market developments.

• Bitcoin makes a new ATH above $97,500, inching closer to the $100,000 milestone.

• The rally is fueled by pro-crypto U.S. policies under President-elect Donald Trump.

• Institutional interest surges with BlackRock's IBIT options debuting at $2 billion in volume.

• MicroStrategy continues aggressive Bitcoin purchases, cementing its role in driving prices higher.

• Analysts forecast a potential Bitcoin price of $200,000 in coming months.

The Republican win in the recent U.S. elections has created a favorable environment for cryptocurrencies. President-elect Donald Trump has pledged to make the U.S. a global crypto leader. His administration's stance is expected to loosen regulatory constraints, sparking optimism among investors. 

Institutional players are taking note. More than $4 billion has flowed into Bitcoin exchange-traded funds (ETFs) since the election. BlackRock’s newly launched IBIT ETF options are leading the charge, attracting $2 billion in trading volume on their first day. Analysts view this as a strong signal of growing institutional confidence in Bitcoin.

Read more: Bitcoin’s 90% Price Rally Soon, Trump-Bakkt Rumors Cause 37,000% Surge, AI and Big Data Tokens Rocket 131%: Nov 20

BlackRock’s IBIT Options Reshape the Market with $2B Inflows

BlackRock IBIT options puts and calls | Source: Cointelegraph

IBIT options, tied to BlackRock’s Bitcoin ETF, debuted with impressive numbers:

• $2 billion in notional exposure traded.

• A bullish call-to-put ratio of 4.4:1.

Options offer traders more tools for hedging risks or betting on price movements. This is expected to increase liquidity and stabilize the market over time. Analysts also suggest that IBIT options could dampen volatility in the long term while attracting new investor demographics.

Corporate Whale MicroStrategy Owns Over 380,000 BTC

BTC/USDT vs. MSTR stock over the past month | Source: TradingView 

MicroStrategy, a leading corporate investor in Bitcoin, continues to bolster its holdings. Since Trump’s election, the firm has purchased over 51,800 BTC, bringing its total to approximately 331,000 BTC, valued at $31 billion.

The company's strategy has not only pushed Bitcoin prices higher but also solidified its position as a key player in the crypto market. Shares of MicroStrategy have surged nearly 900% in the past year, showcasing the market’s confidence in its approach.

Read more: Possibility of U.S. Strategic Bitcoin Reserve Surge as Pennsylvania Introduces Strategic BTC Legislation

Bitcoin’s price has doubled this year and risen 40% since the election. Analysts project it could reach $200,000 in the coming months, driven by:

• Increased institutional adoption.

• The introduction of sophisticated trading instruments like IBIT options.

• A supportive regulatory environment under the Trump administration.

However, some caution remains. Traders warn that the market’s rapid growth could lead to corrections, especially if bullish momentum wanes.

Read more: Bitcoin Price Prediction 2024-25: Plan B Forecasts BTC at $1 Million by 2025

BTC/USDT price chart | Source: TradingView 

Bitcoin’s bullish momentum shows no signs of slowing down, with the asset trading just shy of $97,000. A closer look at its technical setup reveals critical levels and trends that could determine its near-term trajectory.

Key Support and Resistance Levels

• Immediate Resistance: $98,000
  A decisive breakout above $98,000 could pave the way for a move toward the psychological $100,000 mark.

• Support Levels: $93,800 and $92,800
  On the downside, immediate support lies at $93,800, bolstered by a bullish trendline. If this level fails, the next major support is at $92,800, aligning with the 61.8% Fibonacci retracement level of the recent upward move.

Technical Indicators Signal Bullish Continuation

• MACD (Moving Average Convergence Divergence): The hourly MACD remains firmly in the bullish zone, suggesting strong buying momentum. This indicator points to continued upward movement in the near term.

• RSI (Relative Strength Index): The RSI is above the 50 mark, confirming that bulls are in control. However, traders should monitor for signs of overbought conditions as Bitcoin nears $100,000.

BTC Price Prediction: Potential Scenarios

Bitcoin’s price movement has been defined by a strong uptrend since the U.S. elections, with higher highs and higher lows on the hourly chart. A bullish trendline supports the current price action, indicating a continuation of the upward trend.

1. Bullish Breakout: A clean break above $97,000 could drive Bitcoin toward $98,000, with the potential to test $100,000 in the coming days. Analysts suggest that such a move would likely attract additional buying interest, reinforcing the rally.

2. Temporary Pullback: Failure to sustain above $93,800 might lead to a pullback toward $92,800 or even $91,500. This would allow the market to consolidate before resuming its upward trend.

The $100,000 mark remains the immediate psychological target for Bitcoin. Breaking this barrier would place its market capitalization above $2 trillion, further cementing its status as a mainstream asset. Analysts believe that near-term support levels around $93,800 will be critical in maintaining upward momentum.

In the broader market, crypto-related stocks and ETFs are also seeing significant gains, indicating that Bitcoin’s rally is driving a ripple effect across the industry.

Bitcoin’s historic surge reflects growing optimism in the cryptocurrency market. With institutional players stepping in and a supportive government on the horizon, the stage is set for continued growth. As Bitcoin approaches the $100,000 milestone, it’s clear that the “Trump trade” has reshaped the landscape, potentially ushering in a new era for digital assets.