Bitcoin Price Forecast – Why BTC Could Hit $105,000 Soon

Highlights:

• Bitcoin price is consolidating between $96,881 resistance and $85,302
• Rally through $96,881 resistance could send Bitcoin to $105,000
• Improved liquidity in the market could send Bitcoin to $105,000 or higher

Bitcoin (BTC) continues to trade in a range, a trend it has exhibited for the better part of January 2026. When writing, Bitcoin had shown negligible intraday price changes. It was trading at $89,127.19, up by a marginal 0.91%. Bitcoin trading volumes have also increased only marginally over the last 24 hours. In the day, they have increased by 1.7% to trade at $38.07 billion. 

Such a minor change in price and volume is an indicator that capital is still on the sidelines, waiting for directional clarity in Bitcoin. Despite this lack of direction for Bitcoin, the odds are high that the price will soon break out to the upside. 

Economy Increasingly Favors Risk-On Assets Like Bitcoin

One factor likely to push Bitcoin price higher is the improving US economic situation. Despite all the noise in the macro environment, the US economy is getting better. Inflation is headed to 2%, and the stock market is pushing higher. All this is happening in an environment where the Federal Reserve is injecting capital into the economy.

Since the end of QT in December 2025, the Federal Reserve has injected billions into the economy. With a new Federal Reserve chairman set to replace Jerome Powell, the Federal Reserve could take an even more dovish stance going forward.

Thanks to @POTUS’ actions, wages and tax refunds are going up – and inflation, gas prices, and rent are going down.

A non-inflationary boom will take off in 2026, and working Americans from all walks of life will feel the difference. pic.twitter.com/yJgWnuna4z

— Treasury Secretary Scott Bessent (@SecScottBessent) January 27, 2026

This means risk-on assets could benefit even more for the better part of 2026. While this increased liquidity has mainly flowed into stock markets, it is only a matter of time before it starts flowing into Bitcoin as well. That’s because stocks are trading at record valuations and investors are starting to get the impression that they are overvalued. On its part, Bitcoin has been underperforming since 2024, which makes it the next frontier for investors seeking growth. This gives Bitcoin a strong chance of rallying to prices above $100k in the short to medium term. 

Institutional Adoption of Bitcoin On a Growth Path

There is also the fact that institutional adoption for Bitcoin continues to grow. Bitcoin ETFs continue to record healthy growth. Corporations also continue to add to their Bitcoin holdings. Strategy (MSTR) is one of the companies that continues to accumulate Bitcoin. In January 2026, so far, Strategy has already accumulated more than $2 billion in Bitcoin. As such, corporate buying continues, and the price of Bitcoin will inevitably go up over time. That’s because Bitcoin is scarce, and the number of Bitcoins that can be mined into circulation continues to shrink.

Michael Saylor's Strategy buys 2,932 Bitcoin worth of $257 million & Tom Lee's BitMine buys 40,302 Ethereum worth of $117 million

Meanwhile Bitcoin & Ethereum : pic.twitter.com/Afq7IiiDiE

— Alexa (@alexa__meme) January 26, 2026

Improving Regulations Could Push Bitcoin Higher

Regulations across key markets are also increasingly pro Bitcoin. In the US, markets are eagerly awaiting the passage of the market structure bill. Earlier in the month, Bitcoin pumped to $97k on hopes that it was about to pass. However, issues raised by the cryptocurrency industry delayed the bill’s passage until February. Once it passes, Bitcoin could rally to new highs. That’s because the rules will be clear and easy for all institutions to participate in Bitcoin and other cryptocurrencies. This, coupled with Bitcoin’s scarce nature, could send its price to new highs in a short time.

HUGE:

🇺🇸 The U.S. Senate will vote on the Crypto Market Structure Bill tomorrow at 3:00 PM ET.

This is one of the biggest regulatory moments for crypto in years.

Clarity could finally arrive pic.twitter.com/1DepkSE4A8

— Merlijn The Trader (@MerlijnTrader) January 28, 2026

Technical Analysis – Bitcoin Price Continues Consolidating In a Broad Range

Bitcoin is in another day of consolidation between the $96,881 resistance and the $85,302 support. If bulls take control and push Bitcoin through the $96,881 resistance, a rally to $105,994 could follow.

On the other hand, if bears take control and push Bitcoin below the $85,302 support level, a correction to $80,621 could follow. Of these two scenarios, a rally to $105,994 is more likely. That’s because markets are taking a risk-on pivot, and Bitcoin has historically outperformed stocks in all-out bull markets.