$94,700: Can Bitcoin break through this key level?

Glassnode co-founder recently pointed out that the key level Bitcoin needs to break through is $94,700. Once the daily closing price reaches this level, the probability of retesting the all-time high will significantly increase. This assessment has attracted market attention because the current BTC price still has some distance from this key level, and the market environment also contains many uncertainties.

Technical Significance of the Key Level

Why is $94,700 important

According to analysis by Glassnode co-founder Negentropic, the $94,700 price level holds significant technical importance. What does breaking this level mean? Based on the analysis, once the daily closing price confirms above $94,700, the probability of retesting the all-time high will increase markedly. This indicates that this level is not only a technical resistance but also a psychological threshold.

How far is the current distance

According to the latest data, BTC is currently priced at $91,474.94. This means:

From the numbers, the distance isn’t too far, but in the crypto market, this over $3,000 gap requires sufficient buying support to break through.

Complexity of the Market Environment

Trading volume and liquidity challenges

Interestingly, the latest data from Glassnode shows that the spot trading volume of Bitcoin and altcoins has hit a new low since November 2023. This creates an interesting contrast: prices are rising, but trading volume is shrinking. What does this usually imply? Liquidity is thinning, and the momentum for price increases may not be strong enough.

Funding rates still need observation

The 7D-SMA funding rate in major perpetual markets has rebounded from around 0% to approximately 0.005%, then fell back to about 0.003% in the past 24 hours. Glassnode’s assessment is: the current environment still has support, but has not reached a decisive level. In other words, the market has not yet entered a state of rampant bullishness.

Potential Volatility on Friday

A recent report mentioned that this Friday (January 10) the market could experience volatility because there is over a 70% chance that tariffs will be deemed unconstitutional in the US. This political factor could cause short-term disruptions in the market. The key point is the details of the unconstitutionality—this will determine the market’s reaction magnitude.

Summary

Bitcoin still has about 3.5% upside potential to reach the $94,700 key level. Once broken, it could indeed open the door to retesting the all-time high. However, the current market environment warrants caution: trading volume remains low, funding rates have improved but are not yet strong enough, and political factors related to tariffs on Friday could introduce volatility. In simple terms, breaking this level requires stronger buying support, not just price push. Future observations should focus on whether trading volume can support price increases and the actual impact of tariff-related news on Friday.