Investors in Bitcoin are considering that surpassing the $106,000 level could trigger a new wave of upward momentum. However, some analysts caution that there is a risk of the price retracting to $85,000. Amid uncertainty in the crypto market, investors are closely monitoring critical support and resistance levels.

In the cryptocurrency market, Bitcoin (BTC) price movements are closely watched, with some investors arguing that the $106,000 level is a critical threshold for the continuation of the upward trend.

However, there are also opinions among market analysts that the possibility of a retracement to $85,000 is still on the table.

Is $106,000 necessary for a new uptrend?

Crypto investor and analyst Pentoshi stated in an X post dated February 22 that Bitcoin needs to reclaim the $106,000 level to sustain its upward trend. According to Pentoshi, if this level is surpassed, Bitcoin could start a new price discovery journey and the upward movement could gain momentum.

Nevertheless, Pentoshi also warned that if the current support levels are not maintained, Bitcoin could exhibit a downward movement. The analyst mentioned that if the $92,000-94,000 range is breached, the next significant support for BTC could be around $85,000, an area where Bitcoin has not traded since November 12.

This assessment echoes the earlier comment made by crypto analyst AlejandroBTC a few weeks ago, stating, “It looks like we’re heading towards $85,000.”

Uncertainty still surrounds Bitcoin’s direction

While there is divergence in opinions regarding the short-term movements of Bitcoin, some analysts believe that a prolonged consolidation phase within the current price range could occur.

Pentoshi, while maintaining his upward expectations, indicated, “For now, we should stay bullish because it has not broken down yet and we have spent a lot of time in this range.”

However, some market players are cautioning that Bitcoin’s price could further decrease. Arthur Hayes, the co-founder of BitMEX, suggested in a statement on January 27 that BTC could drop to the range of $70,000 to $75,000, potentially creating a “mini financial crisis.”

Crypto investor Mister Crypto mentioned that the $90,000 level could present a significant buying opportunity. He stated, “This level could be an important sign to initiate a major trade again.”

Investor Donny noted that Bitcoin’s charts look technically promising, but the market’s direction will become clearer in the next few weeks. He said, “The context here is crucial, and the next few weeks will be decisive.”

Could a new peak arrive in March?

Another investor AshCrypto, sharing a post on X on February 22, suggested that Bitcoin could reach a new record level by March. According to CoinGlass data, Bitcoin has provided an average return of 13.42% since March in 2013.

Bitcoin hit an all-time high (ATH) of $109,000 just before Donald Trump’s presidential inauguration on January 20. Some investors are focusing on long-term expectations rather than short-term movements.

ARK Invest CEO Cathie Wood mentioned that despite market volatility, the possibility of Bitcoin reaching $1.5 million by 2030 has increased due to the institutionalization of this new asset class. Wood stated, “We believe our bullish scenario is more likely to be correct due to the institutionalization of this new asset class.”