Bitcoin Price Forecast: BTC Could Surge to $140K After This Bullish Signal

Last week was great for cryptocurrencies as a bullish EMA breakout pushed momentum indicators to their highest levels since December last year.

However, market participants are wondering if this is a bear market rally or the beginning of a bullish cycle as significant macro headwinds still linger on the backdrop.

A key economic report showed this morning that the gross domestic product (GDP) of the United States shrunk by 0.3% during the first quarter of 2025 compared to the same period a year ago.

President Donald Trump emphasized that this was due to the “Biden overhang”, referring to the residual impact of the former President’s economic policies. Trump emphasized that this retreat was not the result of his decision to increase tariffs.

In any case, negative GDP growth has some implications for the market’s outlook as the Federal Reserve now has to assess if its monetary policy decisions will prioritize keeping inflation at bay or fostering economic growth.

The market’s reaction to the report has been negative thus far as most cryptocurrencies kept selling off after the American session started.

Bitcoin Faces Strong Selling Pressure at $97,000

Nearly $270 million worth of crypto long positions were wiped out in the past 24 hours as a result of this sharp drop. Nearly $115 million of that total corresponds to Bitcoin and Ethereum (ETH) positions only.

Meanwhile, BTC’s 1-hour long-short ratio dropped from 1.16 to 0.88 in just three hours as the report immediately caused some strong selling pressure. Interestingly, this metric has now surged to 1.275 as traders seem to be repositioning toward a bullish outlook for the rest of the session.

As this tug of war unfolds during the beginning of the American session, Bitcoin’s daily price chart shows that the token has struggled to clear a key area of resistance and has already sent early signs of rejection.

BTC seems to have hit a big order block as it moved near the $97,000 and has already rejected multiple attempts to move above this area in the past few days.

The volume profile shows that trading volumes at this price zone have been quite strong throughout the year, emphasizing its importance for market participants and for Bitcoin’s short-term outlook for that matter.

If Bitcoin retreats from this area, it could be pushed down to its 21-day EMA, which currently sits at $89,900, meaning that there is a high chance that BTC could drop below $90K in the near term.

Momentum indicators were already a bit stretched as BTC neared this key area of resistance. The Relative Strength Index (RSI) hovered near overbought levels in the past few days while the MACD’s histogram has been trending lower for five days in a row.

BTC Outlook is Still Bullish

Bitcoin’s outlook is bullish in the mid-term after a bullish crossover between the 21-day EMA and the 200-day EMA.

The last two times this happened, Bitcoin’s price has reached new all-time highs three to six months after. Hence, if the price pulls back, this could be a great opportunity to buy BTC at a point when technical indicators seem to be favoring bulls in the long run.

How high could BTC go this time? The last time the price rallied it produced gains of 66% which was less than half the percentual gains that BTC saw as it moved from $25,000 to $67,000.

As the asset’s market cap gets bigger and bigger, moving this mammoth higher gets increasingly difficult. Hence, a 30% to 40% rally would be realistic if a similar scenario unfolds, meaning that the price could rise to around $130,000 to $140,000 within the next three to six months.