Bitcoin’s Strongest Trading Day Since May Cues Possible Rally To $107k

Bitcoin posted its strongest daily gain since May as buy-side flows, a sharp adjustment in investor sentiment and a return of the Coinbase premium hint at a potential rally above $100,000.

Bitcoin (BTC) gained 5.81% on Tuesday, its biggest daily return since May 8. As the rally unfolded, a bullish engulfing pattern formed, marking the first significant structural shift on the daily chart in the fourth quarter. Traders now wonder if there is an increased chance for a sustained recovery over the coming day.

Bitcoin printed a bullish engulfing candle with its strongest daily gain since May, signaling early trend expansion.

A daily close above $96,000 is required for full bullish confirmation.

Buy-side trading surged to its highest reading of the entire bull market as the Coinbase Premium flipped positive.

BTC’s rally on Tuesday established a clear higher high and higher low pattern following Monday’s liquidity sweep below $84,000, implying that sellers are losing momentum. The breakout was supported by strong volume, signaling demand rather than a stop-loss hunt-driven move.

High-volume breakouts tend to produce cleaner follow-through because they reflect aggressive participation from directional buyers, not just passive market makers.

A bullish break of structure (BOS) above $92,300 is now forming. A confirmed BOS would shift the short-term trend decisively upward, even if BTC momentarily revisits the fair value gap (FVG) between $90,000 and $88,000 while continuing to grind higher.

The daily chart still lacks full conviction until Bitcoin closes above $96,000. This level is critical because it represents a BOS on the higher time frame. Clearing it would confirm a complete shift in trend structure, not just a relief bounce.

Once $96,000 is reclaimed on a daily closing basis, BTC’s immediate target zone expands toward $102,000–$107,000, where a large cluster of external liquidity remains. This range encompasses previous swing highs, unmitigated stop-loss pockets, and liquidity from breakout traders waiting above prior resistance levels.

Source: CoinTelegraph