Bitcoin’s newest rally previous $88,000 has reignited bullish sentiment throughout the market, with some merchants predicting a surge to $159,000.
Nonetheless, blockchain analytics agency Santiment has issued a cautionary notice, suggesting this optimism may backfire.
Greed Might Spell Hassle
Crypto markets thrive on sentiment, and proper now, greed is creeping again in after a interval in late February and early March that noticed concern because the sector’s main driver. Bitcoin’s latest resurgence to $88,500 has stirred recent optimism amongst retail merchants, with Santiment revealing that social media mentions of the cryptocurrency’s worth targets above $100,000 have spiked.
As crypto has bounced properly within the second half of March, merchants have swung the pendulum again towards delicate greed. After displaying main concern in late February and early March following two stints of Bitcoin dipping as little as $78K, it seems that this rebound to $88.5K has… pic.twitter.com/WGvmvKSv2X
— Santiment (@santimentfeed) March 25, 2025
Moreover, in an ongoing ballot on X by the analytics platform, greater than 60% of respondents consider that BTC will break the $100,000 mark, whereas 40% anticipate a drop under $75,000. On the time of writing, over 892 individuals had participated within the ballot, with 14 hours left till it closed.
Whereas the group is flooding social media with these lofty worth targets, Santiment famous a troubling sample: traditionally, markets have a tendency to maneuver opposite to public sentiment, that means heightened greed may sign an incoming correction.
Bitcoin’s upward momentum was halted slightly below $89,000, the place robust resistance emerged. Analysts attributed this resistance to the convergence of the 50-day shifting common and descending trendline from the asset’s all-time excessive.
Moreover, the Relative Power Index (RSI) has entered overbought territory, indicating that the world’s largest cryptocurrency by market cap might have reached a neighborhood prime. Crypto watcher Ali Martinez beforehand identified that such cases have usually led to important corrections.
Current whale exercise helps this concern. Whereas these giant holders resumed accumulation earlier within the month, contributing to BTC’s worth leap from the $77,000 degree to past $88,000, on-chain information exhibits that some have began offloading their holdings. Santiment just lately reported that greater than 20,000 BTC, value about $1.8 billion, had been bought across the native peak.
Furthermore, issues over the defunct crypto trade Mt. Gox’s latest billion-dollar BTC motion have added to the uncertainty. Historical past exhibits that such giant transfers usually create market concern, prompting sell-offs.
Market Outlook
Regardless of the concerns, Bitcoin has gone again above $88,000 as of this writing after spending many of the morning at $87,000. The present worth is a meager 1.4% rise from yesterday’s degree, nevertheless it signifies that over the previous week, BTC has gained 5.7%, outpacing the broader crypto market, which has solely gained 2.3% in that interval.
Nonetheless, the primary cryptocurrency’s dominance has dropped to 58.3% as altcoins like Cronos (CRO) and Dogecoin (DOGE) recorded important beneficial properties.
Binance Free $600 (CryptoPotato Unique): Use this hyperlink to register a brand new account and obtain $600 unique welcome supply on Binance (full particulars).
LIMITED OFFER for CryptoPotato readers at Bybit: Use this hyperlink to register and open a $500 FREE place on any coin!
