Bitcoin daily chart just hit a recent high of $97,924.49, then pulled back and is now consolidating in the $96,000-$97,250 range with sideways movement. Over the past 24 hours, it has risen by 2.10%, with a trading volume exceeding $2.26 billion. This level of activity indicates that the market is fully reborn after year-end adjustments.

The question now is straightforward: Is this rally driven by multiple positive factors the beginning of a new bull market, or is it just another rebound at high levels?

**There are indeed many reasons for the rally**

If Bitcoin can hold its current high level and trading volume continues to follow, the short-term resistance at $98,000 can likely be broken, turning the psychological barrier of $100,000 into a high-probability event. The current upward momentum is supported by continuous inflows of funds into spot ETFs, along with optimistic signals from regulators (such as the progress of clear legislation). These are not empty words. On-chain data further confirms this: a large amount of Bitcoin is flowing from exchanges into wallets held by long-term holders. This is not a sign of selling, but of accumulation. Once the $100,000 mark is crossed, the next focus will be on the $105,000-$110,000 range.

**But don’t forget the risks**

After a rapid surge to an absolute high, a short-term correction is inevitable. The first support level is around $95,500, and below that, the zone between $94,600 and $95,000 is the real bottom line. If volume breaks through this area, it indicates that the breakout has failed, and the market will have to return to a period of wide-range sideways trading.

**What to watch next**

The next 1-2 trading days are critical. The key points are whether the price can stabilize above $96,500 and whether there is sufficient volume during the upward push. As long as volume supports a firm hold above $98,000, the trend can be seen as heading higher; conversely, if volume breaks below $94,600, a quick switch to a defensive mode and capital preservation should be prioritized.