Bitcoin may be on a downtrend right now, but a full fundamental analysis shows it is poised to bounce back to $120,000. it’s only a matter of time.
According to extensive fundamental analysis shared by Mr. Wall Street at X, the past few months have been of price stagnation and sudden declines part of a larger accumulation phase dominated by institutional players. The overall setup, he argued, clearly points to Bitcoin’s eventual climb above $120,000.
Institutional accumulation and controlled Bitcoin price range
The The analyst’s first point is how Bitcoin traded within a 120-day range, fluctuating between $107,000 and $123,000, to form a controlled consolidation margin by institutions intended to drive out weak retail investors. Mr. Wall Street noted that Bitcoin’s structure remains fundamentally bullish despite its prolonged sideways movement.
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Every attempt to break out strongly above the $120,000 or below the $107,000 support has failed, a sign that major institutions are actively controlling liquidity within this narrow range. Every crash within this period, including those caused by Binance’s sell-off and Trump’s tariff war with China, was met by strong institutional bidding near the $107,000 zone, even when Bitcoin had a flash crash up to $101,000.
Therefore, there is no technical or structural weakness that invalidates the bullish thesis. The imbalance on the upside, he added, is enough to push Bitcoin back to trading in the $120,000 and $123,000 range, which is the Value Area High.
Mr. Wall Street also linked the coming rise of Bitcoin changes within the Federal Reserve policy. He pointed out that despite claiming to end quantitative tightening, the Fed has quietly injected billions into the banking system through repurchase operations and mortgage-backed securities. He highlighted a single Friday when $50.35 billion entered the system.
According to him this is Liquidity will eventually find its way in risk assets, including Bitcoin, in a pattern similar to the 2019 monetary reaction that preceded crypto’s bull run in 2020 and 2021. While he warned that a fabricated crash could precede the next liquidity wave, this will only strengthen Bitcoin’s long-term position for another move to $120,000 and possibly higher.
Gold and Bitcoin in the battle for the true store of value
Mr. Wall Street also drew attention to the psychological side of the current cycle, which has been highlighted by some investors are leaning towards gold. He argued that retail investors are being pushed into gold by manipulated narratives of stagflation and economic fear institutions are quietly buying Bitcoin. “The irony is that the same logic that makes people buy gold should make them buy Bitcoin instead,” he said.
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The persistent gold hype is to distract the audience while institutions accumulate Bitcoin at discount levels. Once retail participants completely exit the crypto market, there will be an upward move that redefines Bitcoin’s price level.
As he concluded, the boring sideways phase is nearing its end, and the next aggressive move, one that could take Bitcoin back above $120,000, is only a matter of time. At the time of writing, Bitcoin is trading at $104,200.
Featured image from Pixabay, chart from Tradingview.com