Bitcoin (BTC) Market Drops After Briefly Surpassing $105,000

Cryptocurrency markets started Monday in the red as Bitcoin rose above the $105,000 level early in the trading hours.

What Happened: Bitcoin (BTC) traded above the crucial $100,000 mark on Monday morning. The largest cryptocurrency was up by 0.28% in the past 24 hours at press time.

As BTC hovered above the key psychological barrier, several analysts remained bullish on the cryptocurrency’s prospects in the long term, anticipating a short-term pullback.

Popular cryptocurrency trader Altcoin Sherpa expressed a bullish stance on Bitcoin's long-term performance but anticipates a likely pullback in the short term, although the timing and depth remain unclear.

"Still very bullish on #Bitcoin long-term, but I think we’ll likely see a pullback here short-term. Not sure when or how deep, but I’m thinking low-mid 90Ks if anyone wants to buy for very long positions and isn’t very active," said Sherpa.

Sherpa further noted that those who prefer more active trading could consider setting entries around the $95,000 to $98,000 levels and setting stops at $90,000. Exits could be planned at $108,000 to $110,000.

Another analyst, ShardiB2, highlighted $103,400 as a critical point to watch for on a daily chart. A close above this level would invalidate a potential local top. However, he advised caution for longs at the current levels, emphasizing that higher time frame signals carry more weight.

Meanwhile, Kaleo entertained the possibility of Bitcoin positioning itself for a massive upside scenario in the coming years, potentially aiming for the $520,000 mark in the longer term.

The Cryptomist observed that the Bitcoin CME gap has been filled, and the user now expects BTC to continue its move toward the $108,000 resistance. The anticipation is for altcoins to follow suit with the upward move.