Key Highlights

• Bitcoin traders are shifting their attention to higher price levels following a $115,000 liquidity grab on Friday.
• Tom Lee from Fundstrat forecasts Bitcoin’s potential to hit $250,000 by year’s end.

Bitcoin (BTC) saw a sharp recovery after sweeping the range on Friday, suggesting an ongoing upward trend as the weekend approaches. This indicates that bullish traders still hold sway over the market.

Bitcoin Traders Eye Higher Gains After Liquidity Grab

According to Cointelegraph Markets Pro and TradingView, BTC/USD hit $118,300 on BitStamp, achieving over 2% daily gains. This startling $3,700 uptick from recent lows has caught the eye of many traders.

“Bitcoin closed above a key bullish level and filled the CME gap at $115,000,” noted popular crypto analyst Ash Crypto in a post on Saturday.

As reported, Bitcoin’s dip to $115,000 was marked by significant liquidation of over-leveraged positions, but it also presented an opportunity for investors to increase their stakes.

“The market bought the dip,” Ash Crypto added.

“The bull is under control.”

Earlier, there was anticipation among analysts that price movements would target liquidity from both the upward and downward directions. According to the latest data from Coinglass, liquidity currently stands above $118,000, with the next important level at around $120,500.

“Liquidity doesn’t lie. Prices gravitate toward areas with stop orders,” said trader Merlijn The Trader in a response, adding:

“The $120,000 zone isn’t just attractive; it’s a strong signal. BTC won’t ignore this call.”

If Bitcoin surpasses the $120,000 mark, it could potentially lead to liquidations of short sellers, pushing prices up to approximately $124,000—a notable cluster.

Tom Lee Suggests Bitcoin Could Reach $250,000

Tom Lee, the research head at Fundstrat, has suggested that Bitcoin might soar to $250,000 by the end of 2025.

In a recent interview on CNBC, when asked about possible price levels for Bitcoin over the next few months, Lee stated, “I think aiming for the $200,000 to $250,000 range for Bitcoin remains reasonable, particularly as we see it valued at about 25% of the gold market.”

Lee contends that Bitcoin may be undervalued as “digital gold” and has the potential to exceed $1 million per BTC in the future.

“Therefore, I believe digital gold should be valued at more than $1 million per Bitcoin. This could happen in the coming years, but even 25% of that seems quite plausible.”

Lee’s outlook isn’t solitary; others like André Dragosch and Ayush Tripathi from BitWise also foresee BTC prices rising above $200,000. They attribute this to proposed tax cuts and increasing U.S. debt.

Additionally, crypto analyst Stockmoney Lizards predicts that Bitcoin might peak around $200,000 based on recent technical movements.

This article does not offer investment advice or recommendations. Any investment involves risks, and readers should conduct their own research when making decisions.