Bitcoin Approaches $110K, Stirring Excitement Among Traders - Cryptured.com

Social media users are growing more optimistic about Bitcoin’s potential to recover $110,000, but blockchain analytics platform Santiment warns that this uptick in optimism isn’t always a harbinger of good things to come.

Brian Quinlivan, an analyst at Santiment, told Cointelegraph that it’s very obvious that people are beginning to get excited about the possibility of a Bitcoin market value of $110,000 or more.

Bitcoin Bullish Talk Peaks After Three Weeks

According to Santiment data, the sentiment ratio is at its greatest level in the last three weeks, with 1.51 bullish comments for every bearish comment on Bitcoin (BTC $108,782). Numerous websites, including X, Reddit, Telegram, 4chan, BitcoinTalk, and Farcaster, provided the data.

Although rising sentiment could appear to be a good thing, Quinlivan warned that on both June 11 and July 7, similar surges in trader optimism were followed by declines in the price of Bitcoin.

“We know that prices move against what the public expects because retail consistently loses money due to overly emotional decisions,” he said.

Quinlivan brought up Monday’s trading action, pointing out that as positive chatter increased, Bitcoin reached a local peak of $109,595 before swiftly falling back to $107,681.

He remarked, “We saw definite indications that retail was investing in the increasing momentum of the price of Bitcoin.”

Bitcoin Poised for Slight Dip Ahead of Potential Record High

Quinlivan anticipated that Bitcoin will probably have a “slight decline” before surpassing its record-breaking peak of $111,970, which it attained on May 22. According to CoinMarketCap data, Bitcoin is up 2.84% over the last seven days, trading at $108,791 at the time of writing.

Additionally, according to Quinlivan, Bitcoin whale wallets, which are those that store between 10 and 10,000 BTC, have not been very active recently, which may indicate market concern.

Whales have sold off 14,140 BTC in the last week, Quinlivan added, adding that these wallets have been a little strangely flat for the time being.

When they build up, prices tend to follow. When people dump or even just stop accumulating for a while, it’s usually a hint that market values for all cryptocurrencies could drop.

The long-term trend, he noted, is still optimistic and points to six months of consistent shark and whale accretion.

Macro headwinds lie ahead

In the next weeks, a number of events might put the durability of the entire cryptocurrency market to the test, according to Javier Rodriguez-Alarcon, chief commercial officer at digital asset trading company XBTO, who spoke to Cointelegraph.

Although his early worries about the US tariff deadline associated with US President Donald Trump have subsided because it was postponed to August 1, Rodriguez-Alarcon pointed out additional macroeconomic factors that may still have an impact on the direction of Bitcoin’s price.

The Federal Reserve’s rate-setting committee minutes, which were released on Wednesday, might affect the cryptocurrency market as a whole and provide “significant headwinds for risk assets,” he warned.