Bitcoin Price Prediction: BTC Could Rally to $121K If Bulls Breach Daily Resistance

Highlights:

• Bitcoin is currently trading around the $115,835 resistance level
• Rally through this resistance could pave the way for a rally to $121k 
• Trump’s softening stance on the trade war could trigger a rally

Bitcoin (BTC), like the rest of the market, is green today, marking a significant rebound after Friday’s market washout. At the time of going to press, Bitcoin was trading at $114,256, up by 1.98% in the day. 

Bitcoin’s trading volumes have also increased by 35% in a day to stand at $95.03 billion. BTC’s trading volumes are an indicator that buyers are returning, and they expect the price to continue rising in the short to medium term. Several factors support the case for maintaining the momentum that Bitcoin has built up over the last 24 hours.

Bitcoin Rebounds as Trump Softens Trade War Stance

One of them is the softening of President Trump’s stance on the trade war. On Friday, Bitcoin and other assets crashed after Trump announced that he would be introducing 100% tariffs on all Chinese imports on November 1. However, on Sunday, he and Vice President JD Vance appeared to soften their stance. They hinted at de-escalation and pointed to the tariff threat as a negotiating tactic. This has triggered a rally across the financial markets, including Bitcoin. With hopes of negotiations continuing as scheduled, now back alive again, the odds are high that Bitcoin could be headed for a rally to new highs.

Don’t worry about China, it will all be fine! Highly respected President Xi just had a bad moment. He doesn’t want Depression for his country, and neither do I. The U.S.A. wants to help China, not hurt it!!! President DJT

(TS: 12 Oct 12:43 ET)​​​‍​​‌‍​​‌‍​​​​​​‌‍​​​​‌‍​​​​​​​‌‍…

— Trump Truth Social Posts On X (@TrumpTruthOnX) October 12, 2025

BTC Correction Offers Investors a Chance to Buy the Dip

Bitcoin has also got a boost from the fact that the recent correction is incentivizing investors who felt like markets were overheating. Recently, Federal Reserve Chairman Jerome Powell noted that valuations were too high. Friday’s correction may have reset the markets, giving investors the correction that many had anticipated. 

At the same time, the correction flushed out excess leverage from the market, after $560 billion in leveraged longs were wiped out of the cryptocurrency market. Bitcoin liquidations wiped out $18.7 billion in value. These liquidations, while painful, have created a more stable grounding for another market rally. With confidence that the worst is now behind and that markets are now back to fair valuations, Bitcoin could see its price rally to new highs in the short to medium term.

Crypto traders WIPED OUT in historic Liquidation. Who Caused it and is it Over? https://t.co/JAX5WqEhFW

— The SWARM (by SLAMai) (@TheSWARM_ai) October 13, 2025

Institutional Demand for Bitcoin Rising

Besides the issues around the US-China trade war, Bitcoin continues to record strong growth from institutional capital. On the week ending October 4, Bitcoin recorded inflows totaling $3.55 billion. This number is likely to continue rising, primarily because finance industry leaders, such as Larry Fink of BlackRock, continue to speak positively about Bitcoin. The growing perception is that in a world that is increasingly operating in a state of uncertainty, Bitcoin offers an uncorrelated growth avenue that also preserves capital over time.

🚨BREAKING: #CRYPTO FUNDS ATTRACT $3.2 BILLION INFLOWS EVEN AFTER THE MARKET BLOODBATH 😳#Bitcoin and #Crypto funds saw record inflows and trading volumes hit new highs 🔥

A Thread 🧵 pic.twitter.com/Q7wMdLl6rX

— Avni Rohit (@CryptoExptAvni) October 13, 2025

Bitcoin Scarcity Makes the Case for Adoption Long Term

This is reinforced by the fact that BTC is a scarce asset with a capped supply of only 21 million coins. As such, with institutions buying up billions of dollars worth of Bitcoin, the scarcity this creates could trigger a Bitcoin rally to prices above $200k in the foreseeable future.

With the Federal Reserve expected to continue cutting interest rates into 2026, the odds are high that Bitcoin could continue to rise heading into the year-end. This is true regardless of any unexpected trade war developments that may arise during this period.

Let’s be real —
this “Bitcoin hitting $200K before 2025 ends” market on XO is wild but not impossible.

Some people call it delusion, others call it faith.
Truth is — both sides have a point.

Why it might be possible 👇

Halving effect: Every time Bitcoin halves, supply drops.… pic.twitter.com/HYAPOqrKx0

— Ox_drago (@Akin_S_O_LA) October 13, 2025

Technical Analysis – BTC Trading at Critical Resistance

Bitcoin is currently oscillating around the $115,835 resistance after Sunday’s rebound. If bulls are strong enough to push Bitcoin through the $115,835 resistance, then a rally to $121,777 could follow.

On the other hand, if bulls fail to break the $115,835 resistance and trade war fears escalate again, Bitcoin could drop to the $109,758 resistance. Of these two scenarios, the odds are higher for a rally through the $115,835 resistance. That’s because there is a buildup of optimism across the financial markets, and this is a plus for BTC.