Bitcoin at a Crossroads

GM Explorer! On January 17th, we highlighted a significant breakthrough for Bitcoin; it had just broken a key trendline, signaling an exit from its prolonged downtrend.

However, as we mentioned, a breakout isn’t confirmed until Bitcoin closes above the trendline and, more importantly, surpasses $102,756, its most recent high. Breaking this level would indicate the start of a new bullish trend. 

Well, guess what? Bitcoin closed the day at $104,119, officially kicking off its upward momentum.

Despite this bullish breakout, Bitcoin has hit a wall at $106,120. Every attempt to breach this resistance has been met with rejection, keeping Bitcoin trapped in a tight range between $106,120 and $101,267.

Monday’s price action was particularly nerve-wracking. The DeepSeek AI news sent shockwaves through both the stock and crypto markets.

Bitcoin briefly plunged to $97,000, while Nvidia lost $590 billion in market cap—the largest single-day loss for any stock in history!

We remember the sheer panic that gripped the market that day. But in our newsletter, we noted that despite the market-wide correction, the news was actually bullish for crypto, particularly AI-related assets.

Our premium members seized the moment, scooping up AI coins at deeply discounted prices.

(Here’s a snapshot from our last newsletter!)

So, What’s Next For Bitcoin?

All eyes are now on today’s FOMC meeting—a pivotal event that could dictate Bitcoin’s next major move.

• Bullish Scenario: If the FOMC meeting delivers favorable news, Bitcoin could blast through $106,120 and rally toward the $110,000–$115,000 zone. Why? Massive liquidation clusters sit in this range, and market makers would love to target them.
  

• Bearish Scenario: If the outcome disappoints, Bitcoin could tumble below $94,000, as heavy liquidations lurk between $96,000 and $93,700—a potential trapdoor for the price.

What We're Watching Out for in the Meeting

Our ideal outcome? A rate cut—or better yet, an announcement that the FED will start buying back risk assets. However, the market is currently pricing in a 99.5% chance that rates will remain unchanged.

Interestingly, Donald Trump has publicly stated he expects a rate cut, hinting that the FED might heed his call.

Will they? We’ll find out in just a few hours.

No matter what happens, our premium members are already prepared for the potential price swings. Earlier today, we sent out a game plan outlining key opportunities and the best moments to capitalize on them.

If you'd like to be a part of our premium community, here's the link to join:

That’s all for today. We’ll see you on Friday!

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Catch you soon.

DISCLAIMER: None of this is financial advice. This newsletter is strictly educational and is not investment advice or a solicitation to buy or sell assets or make financial decisions.