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Bitcoin Price Forecast: Holds $105K mark as MicroStrategy adds 11,000 BTC, Trump pardons Silk Road creator Ulbricht

Bitcoin price today: $105,000

  • Bitcoin price trades around $105,000 on Wednesday after rebounding from the $100K support level the previous day.
  • Michael Salyor’s MicroStrategy announced on Tuesday that it has acquired 11,000 BTC worth $1.1 billion, and President Donald Trump pardoned Silk Road creator Ross Ulbricht.
  • A K33 report highlights that the market awaits crypto-specific executive orders in the coming week.

Bitcoin (BTC) trades around $105,000 on Wednesday after rebounding from the $100K support level the previous day. On Tuesday, Michael Salyor’s MicroStrategy (MSTR) announced that the firm had acquired 11,000 BTC worth $1.1 billion, and US President Donald Trump pardoned Silk Road creator Ross Ulbricht. A K33 report highlights that the market awaits crypto-specific executive orders in the coming week, which could be a key volatility source.

Bitcoin bulls remain strong as MicroStrategy buys more BTC, and Ross Ulbricht's release adds bullish sentiment 

Bitcoin price reached a new all-time high (ATH) of $109,588 ahead of US President Donald Trump’s inauguration on Monday but retraced back to $100K soon after he was sworn in. However, BTC regained its strength and closed at $106,143 on Tuesday.

The rally continuation was fueled by Michael Saylor’s post on X, which highlighted that MicroStrategy (MSTR) had acquired 11,000 BTC worth $1.1 billion at an average price of $101,191 per Bitcoin, and currently holds 461,000 BTC for $29.3 billion, at an average price of $63,610 per BTC.

During the same time, US President Donald Trump announced on Truth Social that he had unconditionally pardoned Ross Ulbricht, the founder of the dark web marketplace Silk Road.

The US Federal authorities arrested Ulbricht in 2013, and was sentenced to life in prison for creating and operating a website (Silk Road) that allowed users to buy and sell illegal drugs, among other illicit products and services. This news gave confidence to the crypto community as Trump followed through on his promise to the crypto industry as US president.

Tuesday’s K33 “Ahead of the curve” report states, “The market now eagerly awaits crypto-specific executive orders in the coming week.”

The report further explains that crypto-specific executive orders will figure among the first 200 executive orders issued by President Trump.

The analyst expects crypto-specific executive orders to be a key volatility source, with the most plausible early executive orders being a SAB 121 repeal (setting the stage for BNY Mellon and other financial institutions to offer crypto custody) and a pardoning of Ross Ulbricht. 

“Beyond crypto-specific executive orders, Trump has already made moves that could shape broad markets, including Bitcoin. Deregulation of AI policies has reflected well on Nvidia in the pre-market, whereas Trump’s plans to boost oil and gas production have introducedvolatility in energy markets. Further, Trump’s freezing of government hires may impact job market data and, in turn, interest rate expectations,” says a K33 analyst.

Moreover, the report mentions that geopolitics and wars are also important risk factors. Trump conveyed a desire to be remembered as a peacemaker and unifier, mentioning the ceasefire in Gaza in his inauguration speech. The speech did not mention Ukraine, and while Trump may provide an avenue for renewed peace efforts, an imminent ceasefire seems uncertain between Russia and Ukraine.

Bitcoin Price Forecast: BTC bulls aiming for all-time high

Bitcoin price reached a new all-time high (ATH) of $109,588 on Monday but quickly slipped 6.68% from that level, closing at $102,260. However, the next day, it found support around its key $100K level and rose 3.8%. At the time of writing on Wednesday, it hovers around $105,000.

If BTC continues its upward momentum and breaks above its all-time-high, it could extend the rally above the $125K mark, calculated by the 141.40% Fibonacci extension level (drawn from the November 4 low of $66,835 to Monday’s ATH of $109,588) at $127,287.

The Relative Strength Index (RSI) indicator on the daily chart reads 61, above its neutral level of 50, indicating a rise in bullish momentum. Additionally, the Moving Average Convergence Divergence (MACD) indicator flipped a bullish crossover on January 15, giving a buy signal and suggesting a continuation of an uptrend.

BTC/USDT daily chart

BTC/USDT daily chart

However, if BTC faces a pullback and closes below $100,000, it could extend the decline to retest its next support level at $90,000.

Bitcoin, altcoins, stablecoins FAQs

Bitcoin is the largest cryptocurrency by market capitalization, a virtual currency designed to serve as money. This form of payment cannot be controlled by any one person, group, or entity, which eliminates the need for third-party participation during financial transactions.

Altcoins are any cryptocurrency apart from Bitcoin, but some also regard Ethereum as a non-altcoin because it is from these two cryptocurrencies that forking happens. If this is true, then Litecoin is the first altcoin, forked from the Bitcoin protocol and, therefore, an “improved” version of it.

Stablecoins are cryptocurrencies designed to have a stable price, with their value backed by a reserve of the asset it represents. To achieve this, the value of any one stablecoin is pegged to a commodity or financial instrument, such as the US Dollar (USD), with its supply regulated by an algorithm or demand. The main goal of stablecoins is to provide an on/off-ramp for investors willing to trade and invest in cryptocurrencies. Stablecoins also allow investors to store value since cryptocurrencies, in general, are subject to volatility.

Bitcoin dominance is the ratio of Bitcoin's market capitalization to the total market capitalization of all cryptocurrencies combined. It provides a clear picture of Bitcoin’s interest among investors. A high BTC dominance typically happens before and during a bull run, in which investors resort to investing in relatively stable and high market capitalization cryptocurrency like Bitcoin. A drop in BTC dominance usually means that investors are moving their capital and/or profits to altcoins in a quest for higher returns, which usually triggers an explosion of altcoin rallies.

Author

Manish Chhetri

Manish Chhetri is a crypto specialist with over four years of experience in the cryptocurrency industry.

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