Bitcoin Price Analysis: Is $135,000 Target On Cards?

Bitcoin price dropped below $96,000 on Wednesday, continuing a decline of over 5% from the previous day. The cryptocurrency slipped to as low as $95,200 on Bitstamp, marking its lowest level since January 2.

The drop comes amid a broader sell-off in the cryptocurrency market, triggered by weak U.S. economic data and fears of a regulatory crackdown on crypto exchanges. Several major cryptocurrencies experienced sharp declines, withイーサリアム (ETH) price falling by 4% to reach $3,180, while XRP price dropped by 3% to hit $0.90.

According to data from Coinglass, the total liquidations in the last 24 hours reached $578.61 million, with approximately $134.29 million in BTC positions alone. Binance led the way with $210.55 million in liquidations, followed by Bybit at $121.03 million and FTX at $97.04 million. Among the top liquidated coins, BTC perpetuals accounted for the highest losses at $183.05 million, while ETH perpetuals amounted to $70.10 million.

Bitcoin Price Analysis: Is $135,000 Target On Cards?

Ali Martinez, a prominent crypto analyst, highlighted on social media platform X that the TD Sequential indicator is signaling a potential buy opportunity on Bitcoin’s 4-hour chart. However, he emphasized that maintaining support at $93,500 would be crucial for any rebound in BTC price.

Additional market metrics reflect mounting selling pressure. According to CryptoQuant, Bitcoin’s Net Taker Volume on Binance plunged to -$325 million on Tuesday, marking its steepest negative reading in 2025. This sharp downturn coincided with the release of unfavorable U.S. economic data, including the ISM Manufacturing PMI and JOLTs report, which dampened risk asset sentiment.

The bearish outlook is further supported by Coinglass data showing Bitcoin’s long-to-short ratio at 0.89, the lowest in over a month. This indicates that more traders are betting on continued price declines.

The TD Sequential presents a buy signal on the #Bitcoin $BTC 4-hour chart, anticipating a price rebound. But it will all depend on whether #BTC can hold $93,500 as support! pic.twitter.com/zNwICWz2fs

— Ali (@ali_charts) January 8, 2025

Moreover, Bitcoin spot ETFs registered a modest inflow of $52.40 million on Tuesday, significantly lower than the $978.60 million inflow recorded on Monday. A sustained decrease in ETF inflows could signal waning institutional interest and potentially exacerbate the downtrend.

From a technical perspective, Bitcoin’s Relative Strength Index (RSI) on the daily chart has dipped to 47, indicating bearish momentum. Should BTC fail to hold $93,500, it may drop to the 38.2% Fibonacci retracement level of $92,493, measured from its November low of $66,835 to the December peak of $108,353.

Conversely, a recovery above $100,000 could pave the way for a retest of its December all-time high at $108,353, with some analysts eyeing a long-term target of $135,000. Traders are advised to monitor these levels closely to gauge the next move in Bitcoin price trajectory.

Also Read: How High May Bitcoin Price Rally In January 2025?