Bitcoin Eyes $110,000 as Next Crucial Price Level Following Record Daily Close
Bitcoin’s next major milestone is the $110,000 mark, a level where market activity could intensify price swings.
While Bitcoin (BTC) trades around the clock, its daily candles—similar to those in forex markets—open and close once every 24 hours. According to the latest TradingView data, Tuesday’s candle closed at $106,830 (UTC), marking the highest daily closing price in Bitcoin’s history.
This bullish momentum coincided with increased inflows into spot Bitcoin exchange-traded funds (ETFs), amid turbulent movements in bond markets. The turmoil raised concerns over the fiscal stability of key economies, including the United States.
Last week, analysts told CoinDesk that worsening debt conditions might actually benefit Bitcoin and other safe-haven assets like gold.
The Coinbase Bitcoin Premium Index—which compares Bitcoin’s price on Coinbase Pro (USD pair) to Binance’s USDT pair—remained positive, reflecting strong buying pressure from U.S.-based investors.
As the upward trend continues, $110,000 emerges as a critical level to monitor. Data from Deribit’s BTC options market, tracked by Amberdata, reveals that market makers hold significant net “negative gamma” exposure at this strike price.
Negative gamma positions often cause dealers to hedge by trading in the direction of the prevailing market trend, which can amplify both upward and downward price moves.
In practical terms, a break above $110,000 could accelerate Bitcoin’s rally. Over the past five years, the growth of the options market and dealer hedging activities have frequently contributed to increased price volatility.
