The recent price action of Bitcoin (BTC) in early 2025 has shown positive but unstable movements, as indicated by current data reflecting a change in sentiment among US investors. After briefly surpassing $102,000 yesterday, the cryptocurrency has struggled to maintain its upward trend, now hovering just below $100,000.

These developments correspond with significant insights from key on-chain metrics that provide a clearer perspective on the short-term path of Bitcoin.

Bitcoin Price Challenges Amid Upbeat Coinbase Premium Index Signal

An analysis by CryptoQuant expert Burak Kesmeci uncovered positive movements in the Coinbase Premium Index (CPI), marking its first positive turn in 2025. This index compares Bitcoin prices on Coinbase to those on other global exchanges, acting as a crucial gauge of US investor sentiment.

The Coinbase Premium Index exceeded SMA14 after 26 days—resulting in a 4% rise to $102K.
A similar occurrence in Nov 2024 led to a rally from $69K to $108K.
US buyers might be reentering the market. pic.twitter.com/XtAlHUzzvv
— CryptoQuant.com (@cryptoquant_com) January 6, 2025

Simultaneously, a significant outflow of 4,012 BTC from Coinbase was noted, indicating revived interest from US investors. Historically, such outflows have heralded an increase in buying pressure, often leading to potential price surges.

Despite these promising indicators, Bitcoin’s price performance remains subdued. After breaching $102,000 on December 6, the cryptocurrency has retreated and now trades below $100,000, marking a modest 3.3% decline in the past 24 hours.

At this price level, the leading cryptocurrency by market capitalization stands approximately 8.9% below its peak of $108,135 attained in December 2024.

Bitcoin Encounter Key Resistance Levels

Despite signs of buying pressure, Bitcoin’s current price action suggests that it may not yet be sufficient to trigger a robust rally.

According to cryptocurrency analyst Ali, Bitcoin has vital support between $95,400 and $98,400, with over 1.77 million addresses collectively holding 1.53 million BTC.

This support zone plays a crucial role in stabilizing Bitcoin’s price amid market uncertainties. On the contrary, resistance levels appear limited, with only 107,000 BTC available between $104,700 and $105,770. This modest resistance could pave the way for an upward push if buying pressure escalates.

#Bitcoin remains above a critical support range of $95,400 to $98,400, with 1.77 million addresses purchasing 1.53 million $BTC. Minimal resistance lies ahead, comprising 107,000 #BTC between $104,700 and $105,770. pic.twitter.com/MEATFegTV2
— Ali (@ali_charts) January 7, 2025

Looking at the broader perspective, analysts remain optimistic about Bitcoin’s outlook. Captain Faibik, for example, has shared a positive forecast for BTC, hinting at a potential rally towards $112,000.