Bitcoin continues to remain above $80,000, which is the threshold Jurrien Timmer of Fidelity states would validate a market bottom and pave the way toward $100,000.
On Sunday, Bitcoin (BTC) changed hands at $84,647, sitting approximately 18% below that milestone. Meanwhile, futures speculators continue piling into record-high bullish positions.
Bitcoin Breaks the $80,000 Level Fidelity Flagged
As the director of global macro at major US asset manager Fidelity Investments, Timmer outlined this crucial trigger in a social media post. He highlighted a double bottom chart structure—a technical formation where an asset’s price hits a similar floor twice before moving upward.
“Bitcoin is looking particularly interesting here as it challenges key resistance at $80k. If it breaks it will confirm a double bottom targeting $100k,” Timmer wrote.
In his weekly charts, Timmer points to this year’s lows recorded at $60,033 during February and $57,742 near the end of June.
While his charts utilize data gathered up to September 20, Bitcoin has since surpassed $80,000, reaching roughly $87,500 before pulling back slightly.
Why Fidelity Sees $300,000 Bitcoin by 2029
Additionally, Timmer referenced Bitcoin’s power law, a valuation model that matches the asset’s long-term price trajectory to a mathematical curve over time. According to this framework, successfully holding the $60,000 mark points to the initiation of a fresh bull market with a $300,000 target by 2029.
“Bitcoin’s power law math continues to suggest that a new cyclical bull market is underway after holding $60k, targeting $300k in 2029,” the Fidelity executive added.
This perspective represents a shift from December, when Timmer expressed apprehension regarding a bear market and cautioned that prices could potentially drop to a range between $65,000 and $75,000. Bitcoin subsequently declined even further.
Can the Bitcoin Rally Hold?
Tom McClellan, who serves as editor of The McClellan Market Report, closely monitors the Commitments of Traders (COT) report. Released weekly by the US Commodity Futures Trading Commission (CFTC), the report details futures market participants and their holdings.
According to McClellan, non-commercial speculators like hedge funds recently reached a record net long exposure, indicating that bullish bets on rising prices significantly outweigh short positions.
“What is unusual is that with the pop earlier this week, these traders actually were adding more longs instead of harvesting gains. That is a strong statement that they expect more gains to come,” McClellan wrote.
At the same time, other market indicators remain mixed. Back in August, BeInCrypto highlighted three cautionary indicators, which included decelerating spot demand and slower inflows into exchange-traded funds (ETFs).
Earlier this month, BeInCrypto also highlighted CryptoQuant’s bull market line resting at $81,700, which functions as Bitcoin’s one-year average close. The leading cryptocurrency currently trades roughly $3,000 above that benchmark.
As a result, the safety margin remains narrow. Dropping back below $80,000 would invalidate the breakout required to reach Timmer’s $100,000 objective.