Bitcoin Rallies Above $96,000 as Spot Buying Accelerates
Bitcoin has extended its upward momentum in 2026, climbing above the $96,000 level for the first time since November, as intensifying spot market demand attracts renewed interest from both traders and long-term investors.
Over the past 24 hours, the price has risen by more than 4.5 per cent, reinforcing bullish sentiment after a cautious start to the year. The move has revived market debate around when, not if, Bitcoin will break the $100,000 psychological barrier.
Spot Demand, Not Leverage, Drives the Rally
Unlike several previous rallies, the latest advance is being driven primarily by spot market purchases rather than futures trading or leverage.
Spot demand reflects real capital flowing into the asset, making the move more structurally sound. Market data shows that more than $600 million in short positions were liquidated as prices broke through key resistance levels, forcing bearish traders to exit and adding momentum to the rally.
This shift suggests growing confidence among buyers and reduces the risk of abrupt, leverage-driven pullbacks.
$100,000 Level Comes Into Focus
The $100,000 mark remains both a psychological milestone and a powerful market signal. A sustained break above six figures could further boost sentiment and draw in additional participation from retail investors and institutions alike.
Many market participants view a move above $100,000 as a potential catalyst for a broader bull phase, especially if supported by continued spot inflows.
Technical Outlook Remains Supportive
From a technical perspective, Bitcoin appears well-positioned for further gains. Prices are holding above key moving averages and have decisively cleared resistance in the $94,500–$96,800 range, an area that capped upside in recent weeks.
Analysts note that maintaining support above this zone significantly improves the probability of continued upside.
Market behaviour is also shifting. Pullbacks are increasingly being treated as buying opportunities rather than sell signals, a pattern often associated with sustained uptrends. Crypto analyst Michaël van de Poppe, founder of MN Trading Capital, has highlighted this change in sentiment as a constructive sign for price stability.
Institutional Flows Turn Positive Again
Institutional interest is also improving. Spot Bitcoin ETFs in the United States have recorded fresh inflows, reversing the persistent outflows that pressured the market in late 2025.
Increased participation through regulated investment products signals cautious but genuine capital deployment, supporting a more sustainable path toward higher prices.
Market Expectations and Risks
Prediction markets are increasingly optimistic. Data from Polymarket indicates traders are assigning around a 50 per cent probability that Bitcoin will test or exceed $100,000 by early February, suggesting confidence that the rally extends beyond a short-term bounce.
However, risks remain. Bitcoin is still trading below its late-2025 all-time high above $126,000, and shifts in global liquidity, regulatory developments, or geopolitical tensions, such as ongoing instability in Iran, could quickly alter sentiment.
What Happens Next?
If spot demand remains strong and prices continue to hold above key support levels, a breakout above $100,000 appears increasingly likely within weeks rather than months.
The coming trading sessions will be crucial. Investors will be watching closely to see whether the market can maintain strength during pullbacks. If it does, the path toward six figures may soon become clear.
