Bitcoin breaks $108K, eyes $116K and beyond amid strong momentum and mixed analyst warnings - IcoHolder.

Bitcoin surged past $108,000 today, reaching its highest level in four months and breaking out of a strong bullish pattern. Traders are now setting their sights on $116,000 as the next key milestone, with many optimistic that the cryptocurrency could soon challenge its all-time highs. Momentum remains strong, and multi-month charts show no immediate bearish signs, fueling speculation that Bitcoin’s price could continue its rapid ascent.

Despite the optimism, some analysts are cautioning investors about a potential sharp downturn. One expert even described a future crash to as low as $2,000 to $3,000 as a “mathematical certainty,” warning that after the current rally peaks, a major correction may be inevitable. The long-term technical analysis suggests Bitcoin could climb to $140,000 or beyond before entering this correction phase, but accurate interpretation of market wave structures will be crucial for traders navigating these volatile movements.

Complicating the outlook are macroeconomic factors. The weakening U.S. Dollar Index could support risk assets like Bitcoin, yet ongoing issues such as the recent U.S. credit downgrade and rising bond yields may pose challenges to crypto markets. There is also speculation about potential Federal Reserve emergency liquidity interventions, which could inject further volatility.

Notably, Bitcoin’s price behavior still closely tracks traditional risky assets like stocks, indicating it may take time for the cryptocurrency to fully decouple and chart its own course. However, current lower leverage compared to the 2021 peak may mean future price swings are less extreme. Analyst Michaël van de Poppe remains bullish, predicting new all-time highs of $120,000, $150,000, and possibly $200,000 as more investors seek alternatives amid dollar devaluation concerns.