Bitcoin Bitcoin is currently in a downtrend, but in-depth fundamental research suggests that a return to $120.000 is only a matter of time. Recently, analyst Mr. Wall Street on X warned that the stagnation in Bitcoin’s price and subsequent fluctuations are part of a broader accumulation phase with institutions playing a leading role. According to him, this clearly points to a future upside that could take the price back above $120.000.
One of the analyst's key observations is that Bitcoin has fluctuated within a relatively narrow range over the past 120 days, between $107.000 and $123.000. This controlled consolidation appears aimed at driving out weak retail investors. Despite the prolonged sideways movement, Bitcoin's fundamental structure remains bullish. The failure of previous attempts to break through the $120.000 level, both up and down, demonstrates that large institutions are actively managing liquidity within this narrow band.
Crashes within this period, such as those caused by the selling on Binance and the trade conflicts of Trump With China, these were consistently followed by strong institutional support around the $107.000 level. Even during the recent flash crash to $101.000, there was solid buying interest from institutions. This indicates that there are no technical or structural weaknesses that undermine the bullish outlook. According to the analyst, the upward pressure is enough to push Bitcoin back into the $120.000 to $123.000 range, which corresponds to the Value Area High.
Mr. Wall Street also links a potential Bitcoin surge to shifting Federal Reserve policy. He notes that, despite the announced end of quantitative tightening, the Fed has quietly injected billions into the banking system through repurchase agreements and the purchase of mortgage-backed securities. He cites a specific Friday when a whopping $50,35 billion flowed into the system. This new liquidity is expected to flow into risk assets, including Bitcoin, in a pattern similar to the 2019 monetary response that preceded the cryptocurrency bull run in 2020 and 2021. While he warns of an artificial dip that may precede the next wave of liquidity, this will only strengthen Bitcoin's long-term position for a further rise to $120.000 or higher.
Another key point Mr. Wall Street raises is the psychological dynamics of the current cycle, with many investors drawn to gold. He argues that retail investors are being driven to gold by manipulated narratives surrounding stagnation and economic fear, while institutions are calmly buying Bitcoin. "The irony is that the very reasoning that drives people to gold should also drive them to Bitcoin," he says.
The current hype surrounding gold seems designed to distract public attention while institutions accumulate Bitcoin at discount levels. Once retail investors fully exit the crypto market, an upward movement will occur that will rewrite Bitcoin's price level. As Mr. Wall Street concludes, the dull sideways phase is coming to an end, and an aggressive move back above $120.000 is only a matter of time.
What should I expect from the price of Bitcoin in the short term?
The current price range points to a possible return to $120.000, supported by institutional accumulation.
How Do Fed Policy Changes Impact Bitcoin Price?
The Fed's injection of liquidity could lead to increased demand for risky assets like Bitcoin.
What is the relationship between gold and Bitcoin in the current market?
Investors' preference for gold may increase amid economic uncertainty, but institutional purchases of Bitcoin may be more valuable in the long run.