While most crypto assets are struggling, Bitcoin (BTC) is back on the offensive. After dipping toward $105K, buyers stepped in aggressively, pushing BTC back above $110K and reviving hopes of a strong monthly close, and potentially, full-scale market FOMO.
Key Takeaways:
- Is this level just technical resistance, or a psychological trigger for retail FOMO?
- With altcoins underperforming, some traders choose to stay in BTC until this breakout confirms.
- If Bitcoin avoids the first red October in seven years, November could spark the real run.
Specifically, analysts across the crypto space agree, regardless of whether they’re basing their conclusions on on-chain distribution data, technical liquidity zone, or just simple price structure, that BTC breaking $112K would ignite the next wave of upside.
However, if the flagship decentralized finance (DeFi) asset fails here, it will likely spend more time chopping sideways. Still, altcoins continue to underperform, causing many traders to stick with Bitcoin until the market clears this critical zone.
Key level = Market Mood Swing
As it happens, renowned crypto trading expert Ali Martinez has specified $112,340 as “the most important resistance level ahead of Bitcoin,” marking the supply pocket where sellers stepped in previously and where unrealized profit-takers historically start cashing out.
Indeed, Glassnode’s on-chain data shared by the popular crypto analyst in an X post on October 31 shows that large holders accumulated above and below this zone, suggesting a breakout could unleash a rapid expansion.
If BTC closes October strong, avoiding what would be the first red October in seven years, the momentum could snowball into November, per the observations shared by fellow crypto experts CryptoJelleNL and Ash Crypto, also on October 31.
Breakout Above $112K Could Flip the Entire Market
With the macro backdrop supportive and ETF flows continuing, the market environment favors bullish follow-through, as another crypto trading specialist, Michaël van de Poppe, noted at the same time.
But the flipside is real, too. Fail to reclaim that level soon, and the price risks sliding back into the liquidity zone near $105K – $107K, giving buyers one more shot before the sentiment cools.
For the time being, Bitcoin is changing hands at the price of $110,283.13, recording a 0.74% increase in the last 24 hours, at the same time dipping 0.82% across the previous seven days, and an accumulated decline of 5.51% on its monthly chart, per the latest information.
All things considered, $112,340 seems to be the gate above which BTC would experience acceleration, but failing of which would lead to frustration.
What do you think?
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