Bitcoin Price Prediction: BTC Holds Support at $85K, Rally to $100K Next?

The last few days in crypto have been chaotic. We saw a surprise crash late on Sunday evening, a quick recovery attempt yesterday, and now prices seem to be drifting back down slightly today.

Bitcoin (BTC) is, as always, the bellwether for the broader crypto market. So, we dug into the charts to see if the price swings of the past 24 hours change the bigger picture for where BTC goes next.

Our latest Bitcoin price prediction relies heavily on current support holding. After seeing the price drop below and then push back above the $85,000 level, we believe a rally to $100,000 is still very much on the table before the year ends.

And a move of that magnitude would lift more than just the major alts. That possibility is why we are also watching Bitcoin Hyper (HYPER) – a presale token that has raised over $28.8 million and is positioned to benefit if BTC rallies into year-end.

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Bitcoin’s Surprise Price Crash and Leverage Flush

Bitcoin sits at $86,500 today, which is technically a recovery from the lows of $83,900. But context matters more than price. Sunday evening into Monday saw a drop of around 8%. And while spot volumes are up slightly now, yesterday’s bounce lacked conviction.

The catalyst for BTC’s dip seems to be leverage clearing out into thin liquidity. Sunday’s drop triggered a cascade of margin calls that wiped out a lot of overleveraged long positions.

That explains why open interest is down in the past 24 hours. It tells us that many traders were forced out of the market – and are hesitant to jump back in immediately.

Macro factors are also adding pressure. Hints of a rate hike from the Bank of Japan and concerns that Strategy might sell BTC to cover end-of-year obligations are weighing on investor sentiment. And with the next FOMC meeting looming, capital is beginning to rotate out of speculative assets.

Bitcoin Price Prediction – Technicals Point to an End-of-Year Rally

Looking at the charts, things are actually holding up better than sentiment suggests. The $85,000 level acted as solid support on the daily chart yesterday. Even though Bitcoin wicked below, it managed to close the day back around $86,300.

Also, price is now approaching the 50-period exponential moving average (EMA) on the 4-hour chart, which currently sits at $89,000. Bitcoin’s 4-hour RSI also reset from an oversold level of 24 back to 40, creating a bullish divergence: price makes lower lows while RSI makes higher lows.

And on the weekly timeframe, the long-term uptrend is still intact. Bitcoin is trading above its 200-week EMA near $66,600. So, while the recent volatility was severe, it effectively “reset” the market leverage.

If Bitcoin stays in this technical structure and breaks cleanly above $90,000, the probability of a year-end run toward $100,000 increases. Such a rally would represent a 15% gain from today’s price.

Bitcoin Hyper Primed to Benefit if Bitcoin Rallies – Almost $29M Raised in Presale

While Bitcoin’s technicals suggest upside potential, some investors are positioning in connected plays. This trend is driving inflows into Bitcoin Hyper – a project building the infrastructure to address Bitcoin’s speed issues.

Bitcoin Hyper operates as a Layer-2 network, using the Solana Virtual Machine (SVM) to handle transactions while relying on Bitcoin for final settlement. It serves as an execution layer that could finally unlock DeFi utility (such as yield farming) for Bitcoin holders.

The HYPER investment thesis comes down to supply and demand. With $28.8 million in presale funding, investor interest in this Layer-2 tech is validated. Also, whales have been entering with five-figure transactions, likely attracted by the staking APY, which currently sits at 40%.

So, if Bitcoin does finish the year strong, HYPER (currently priced at $0.013365) might act as a “high beta” play. Theoretically, it could move alongside BTC (due to its connection to Bitcoin’s ecosystem) but with a higher-risk, higher-reward dynamic.

Crypto commentator Borch Crypto is hyped about this, speculating that HYPER could “explode” once it lists on exchanges after the presale. For those looking interested in Layer-2 exposure, Bitcoin Hyper might be worth keeping tabs on.