Bitcoin Traders Target $110K Amid Looming CME Price Gap

Bitcoin (BTC) traders are positive about the coin’s future price breakout amid a looming gap on the CME exchange. BTC has slightly increased in the past 24 hours as traders anticipate a price surge toward $110,000.

Bitcoin CME Gap Looms in Coming Week

In an X post, crypto analyst Killa highlighted that BTC closed on Friday, September 26, at $109,236. The analyst emphasized that the gap is small, meaning there is no substantial opening yet.

However, Killa expects the BTC price to move over the weekend. This could create a gap when the CME reopens on September 29.

The Chicago Mercantile Exchange (CME) offers futures contracts for Bitcoin. Unlike the Bitcoin spot market, the CME operates only during traditional market hours, typically Monday to Friday.

This creates a situation where the price of BTC can move over the weekend when the CME is closed. In the crypto market, price gaps are formed when an asset opens much higher or lower than its previous closing price.

This creates a gap in the chart, which often acts as a magnet for future price movements. Traders usually target these gaps for potential price reversals or corrections.

For BTC, the implications of CME gaps lie in its predictive power. Market participants closely monitor these gaps for possible trading opportunities. In the current situation, the gap may remain negligible if the BTC price does not move much over the weekend.

On the contrary, the gap could become more noticeable if Bitcoin experiences a price surge this weekend. This could lead to a noticeable price movement to fill it on Monday.

Can Bitcoin Price Reclaim $110,000?

Another crypto analyst, Daan Crypto Trades, expressed an optimistic outlook for the Bitcoin price amid the ongoing market volatility. Daan Crypto Trades highlighted that the BTC price action has been characteristic of weekend trading.

During the weekends, the crypto market typically has reduced liquidity. This is primarily because institutional traders and some retail traders are less active, leading to less decisive price trends.

Daan Crypto Trades expects Bitcoin to remain relatively stable over the weekend, without a major breakout or large price movement. However, the analyst mentioned the possibility of BTC moving beyond $108,500 and $110,000.

Daan Crypto Trades is monitoring these key price levels for Bitcoin in the short term. As of this writing, BTC is valued at $109,298, up 0.18% over the past 24 hours.

Based on technical analysis, BTC is trapped in a tight consolidation with low volatility, a classic setup for a short-term squeeze. If support around $108,500 holds, a breakout above $110,000 could trigger aggressive momentum buying.

BTC Institutional Investors Lose Confidence

Despite the optimistic sentiments, Bitcoin institutional investors have reduced accumulation, indicating a lack of confidence. Notably, the spot BTC exchange-traded funds (ETFs) have registered massive outflows over the past few days.

According to Farside Investors, the BTC ETFs saw two consecutive days of outflows on September 25 and 26. These days, BlackRock’s IBIT and Fidelity’s FBTC experienced the largest daily outflows.

The total net outflows on September 25 reached $253.4 million, and $418.3 million the following day. These outflows show a reduction in accumulation from fund managers, fueled by the ongoing BTC price volatility.

Gold proponent Peter Schiff has slammed BTC performance. Schiff predicted that capital would flow from Bitcoin ETFs into gold.

Surprisingly, the tempered outlook in the BTC market also affected the stock prices of Bitcoin treasury companies. CryptoQuant even warned that some BTC treasury companies could fall more than 50% in value.