A prominent market analyst has outlined two potential price paths for Bitcoin after its strong start to 2026. Over the past three days, the leading cryptocurrency has risen 3.4% to reach $90,500. Bitcoin is now at a critical juncture, with its next move carrying significant implications.
In a January 3 post on X, pseudonymous analyst Bitcoin Meraklisi shared a dual-scenario analysis. Following the recent rally, the analyst notes that Bitcoin is positioned above a three-month downtrend, placing it at a decision point.
In a bullish scenario, a clear and convincing breakout above $90,500 could propel Bitcoin to $94,800. Reaching that level would open the door to a potential climb toward $107,300, pushing Bitcoin back into six-figure territory for the first time since mid-November.
With strong bullish conviction, Meraklisi suggests Bitcoin could even rebound to $123,500—a gain of about 36.5% from current prices.
Conversely, if Bitcoin faces another rejection, the analyst expects an initial drop to $88,000, with a further pullback to around $86,000 also possible.
Bitcoin Meraklisi points out that price predictions are particularly challenging right now, given the market’s heightened sensitivity to macroeconomic and external events. Over the past year, Bitcoin has seen growing adoption through increased institutional and government involvement, but its price has also been pressured by geopolitical tensions and renewed trade-war concerns.
Bitcoin RSI Shows Positive Signal
Amid the current uncertainty, Meraklisi also observes that Bitcoin’s Relative Strength Index (RSI) is flashing a positive signal after breaking out of an ascending triangle pattern, ending a three-month downtrend. If this RSI breakout acts as a leading indicator, it could mean Bitcoin is poised to overcome its current resistance and shift into a bullish trend.
As of this writing, Bitcoin is trading at $90,603, up 0.76% on the day and 3.13% over the past week. However, it still shows a slight monthly loss of 1.68%, indicating that a full market recovery may not yet be underway.
Bitcoin currently holds a total market capitalization of $1.8 trillion, maintaining its position as the largest cryptocurrency and the eighth-largest asset globally.
Frequently Asked Questions
Of course Here is a list of FAQs about the topic Bitcoin Enters Critical Zone Analyst Outlines Two Potential Price Paths designed to cover questions from beginners to more advanced readers
Beginner General Questions
1 What does it mean that Bitcoin is in a critical zone
It means the price is approaching a key level or area on the chart that has historically been very important This is often a point where the price could either break out sharply higher or reverse and fall significantly
2 Who is this analyst and should I trust their prediction
The analyst is typically a market technician or trader who studies price charts and trends Their analysis is an educated opinion based on historical patterns not a guarantee You should use it as one piece of information among many not as sole financial advice
3 What are the two potential price paths the analyst outlined
While the exact levels change the two classic paths in a critical zone are
BullishBreakout Path The price successfully holds above a key support level and breaks through a major resistance level potentially starting a new upward trend
BearishRejection Path The price fails to break resistance and falls back below a key support level potentially leading to a deeper correction or downtrend
4 Is this a good time to buy Bitcoin
There is no single good time that works for everyone If the bullish path plays out buying before the breakout could be profitable If the bearish path plays out buying during a dip might be better It depends entirely on your risk tolerance and investment strategy
5 Whats the difference between support and resistance
Support A price level where buying interest is historically strong enough to prevent the price from falling further Its like a floor
Resistance A price level where selling pressure is historically strong enough to prevent the price from rising further Its like a ceiling
Intermediate Technical Questions
6 What specific chart levels are they talking about
The article would name specific prices Common critical zones are around major round numbers the previous alltime high or longterm moving averages These levels act as