Bitcoin’s $100k Wall—Analyst Says Bulls Won’t Stagnate For Too Long, Here’s Why ⋆ ZyCrypto

Bitcoin’s failure to reclaim the $100,000 level has frustrated traders. Yet, analysts argue the stall is structural rather than a sign of weakness.

BTC recently hovered near $93,000, and price action has been compressed by mechanics within the derivatives market, not fading demand or deteriorating fundamentals.

According to market analysis, options dealers are currently exerting outsized influence on spot price behavior. To remain delta neutral, dealers are required to sell into rallies and buy into dips, effectively dampening volatility.

This dynamic has locked Bitcoin into a narrow range, with support near $90,000 and a firm resistance zone below $100,000. As a result, BTC’s price appears capped despite constructive momentum.

Institutional flows have also played a role. Bitcoin ETFs recorded approximately $1.6 billion in outflows over the past week, mainly attributed to portfolio rebalancing and tax considerations rather than panic selling.

When large buyers step aside, dealer hedging flows tend to dominate, limiting upside pressure by design. Without renewed spot demand, rallies are absorbed before they reach key breakout levels.

Breaking above $100,000 requires significant force. Analysts estimate that nearly $500 million in net spot buying would be needed to offset hedging pressure, order-book depth, and clustered short liquidations. Until that threshold is met, repeated rejections will most likely continue.

However, time may prove to be the quiet catalyst. As options contracts expire and hedges decay, the structural constraint weakens. Mid January and late January are typically critical windows when a large portion of these positions is expected to roll off. Once that occurs, BTC’S price may regain flexibility.

From a longer term perspective, Bitcoin is trading roughly 24% below its fair value on a logarithmic trend basis. Historically, periods of low volatility combined with undervaluation have not led to a resolution of sideways markets. Instead, they have preceded sharp repricing events.

Market data shows Bitcoin dropped 1.87% to $90,086.11, reflecting ETF outflows and derivatives-driven liquidations.

Despite near-term pressure, institutional interest is growing, suggesting the current compression may be storing energy rather than signaling exhaustion.