Bitcoin maintained stability around the $98,000 mark as Wall Street opened on Feb. 6, with traders highlighting several optimistic indicators.
Market Sentiment Remains Bullish
Data from market tracking platforms, including TradingView, showed Bitcoin consolidating within a narrow range. Despite yet another attempt to breach the psychological $100,000 threshold, BTC price action remained relatively steady as traders awaited the next move.
Renowned analyst Jelle pointed out Bitcoin’s resilience, stating on X that a higher low was forming—a classic sign of bullish momentum.
“The goal remains unchanged—reclaiming $100K,” he explained. “This level also coincides with the range mid-point. A confirmed breakout above this, and $110K will be the next target.”
Spot Market Demand Signals Strength
Analyst Daan Crypto Trades noted that strong demand in the spot market was a key factor in Bitcoin’s ability to maintain its position despite recent volatility.
“$BTC is trading at a solid premium, indicating that spot demand remains strong. This demand has played a crucial role in Bitcoin’s stability amid recent market fluctuations,” he shared on X.
Supporting his argument, he pointed to the divergence between spot and derivatives trading, suggesting that institutional buying—such as purchases from MicroStrategy and Bitcoin ETFs—was shifting supply into stronger hands.
“If this trend continues, we could see supply becoming scarce at these levels, paving the way for a push higher,” he added.
RSI Indicator Hints at Breakout
Another promising technical development comes from Bitcoin’s daily Relative Strength Index (RSI), which appears to be forming a narrowing channel.
Analyst Rekt Capital highlighted the setup, noting that Bitcoin recently confirmed support on a key trendline.
“In addition to price action successfully retesting support, the daily RSI is forming a distinct channel. Holding at the lower boundary suggests preparation for an eventual breakout towards the top,” he explained.
Meanwhile, a rare signal on the 4-hour RSI chart also pointed to a local bottom for Bitcoin, further reinforcing a bullish outlook.
Macro Risks Still Loom
Despite strong on-chain and technical signals, trading firm QCP Capital took a more cautious stance, warning of potential external shocks that could impact Bitcoin’s price.
On Feb. 5, the firm highlighted geopolitical tensions, particularly U.S.-China relations, as a potential source of volatility.
“BTC’s ability to hold above $90K is impressive, but we remain wary of negative geopolitical developments that could trigger another downturn,” QCP stated in a market update.
Additionally, the firm pointed out the lack of imminent crypto-specific catalysts, making the market susceptible to sharp corrections.
“In an environment with heightened global uncertainty, defensive trading strategies and risk management remain crucial, especially after Monday’s significant liquidations,” QCP concluded.
While Bitcoin continues to hover just below the $100K milestone, traders and analysts alike are watching for the next big move, with technical and on-chain data suggesting bullish potential in the days ahead.
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