Bitcoin analysts warn of $95K ‘bear trap’ despite record $102K monthly close
Bitcoin may be headed to a “bear trap” below $95,000 despite staging its first monthly close above $100,000
Bitcoin
$98,300
fell below the $100,000 psychological mark on Feb. 2 for the first time since Jan. 27 Cointelegraph Markets Pro data shows
The decline comes amid inflation concerns after President Donald Trump imposed import tariffs on goods from China,Canada and Mexico
However the dip could be the start of a wider correction, potentially taking Bitcoin to $95,000, according to Ryan Lee chief analyst at Bitget Research
On the downside, the $95,000 range remains a critical support area. The interplay between labor market trends, Fed policy expectations, and market sentiment will be the main catalysts to monitor in the coming weeks,Lee told Cointelegraph
However, Bitcoin could see more upside in February if next week’s labor market data points to a sluggish economy,added the analyst
The US Bureau of Labor Statistics is set to publish its US labor market report on Feb. 7 Weakening labor market data may strengthen the case for a rate cut by the Federal Reserve, which creates a more supportive environment for Bitcoin according to Lee
Bitcoin secures record monthly close above $102,000
However, Bitcoin recorded its first monthly close above $100,000 in crypto history in January
Bitcoin closed the month above $102,412 which is over 6% higher than its previous record monthly close of 96,441 registered in November 2024
Some analysts believe that Bitcoin’s current correction may only be a bear trap, including popular crypto analyst Sensei, who shared the below chart in a Feb 2 X post
Despite the potential for a short-term correction, Bitcoin’s prospects remain bullish for the rest of 2025, especially after spot Bitcoin exchange-traded funds ETF surpassed a record $125 billion milestone just over a year after they first debuted for trading in the US on Jan. 11, 2024
Analyst predictions for the rest of the 2025 market cycle range from $160,000 to above $180,000
