Bitcoin surged to its highest level in six weeks on Monday, climbing more than 3% to $94,400 as cryptocurrency traders positioned for a potential run toward the psychologically significant $100,000 mark. The rally extended the digital asset's strong start to 2026, with Bitcoin now up approximately 5% in the first five trading days of the year.

The move represents a notable shift in momentum for Bitcoin, which ended 2025 with a modest 6% decline after reaching an all-time high above $126,000 in mid-year. That pullback—roughly 29% from peak to recent lows near $89,900—had tested the resolve of crypto bulls, but the new year appears to be reigniting bullish sentiment.

The $100,000 Bet

Options market data from Deribit, the leading crypto derivatives exchange, reveals just how heavily traders are betting on Bitcoin reaching six figures. The January $100,000 call option has become the most popular contract, with a notional open interest of $1.45 billion.

Call options give holders the right, but not the obligation, to purchase Bitcoin at the specified strike price. The concentration of interest at $100,000 suggests many traders believe the cryptocurrency can reclaim that level—which it briefly touched in late 2024—within the next few weeks.

"The $100K level has become a magnet for positioning. Whether we get there in January or need more time, the market is clearly betting on new highs rather than a return to the lows."

— Derivatives analyst at a major crypto exchange

Fundstrat's Tom Lee: New All-Time High Coming

Among the most vocal Bitcoin bulls is Fundstrat's Tom Lee, who predicted Monday that Bitcoin will reach a new all-time high before February. Lee, whose firm has been consistently bullish on crypto, acknowledged that the path won't be smooth.

"2026 is going to be a year of two halves," Lee said. "The first half may be tough as we deal with institutional rebalancing and a 'strategic reset' in the crypto markets, but that volatility is exactly what sets the stage for the massive rally we expect in the back half."

His near-term optimism is predicated on the cryptocurrency finding support and momentum in January, with technical analysts noting that breaking above $95,000 could trigger a rapid move toward the prior highs.

Macro Tailwinds

Several factors are contributing to Bitcoin's renewed strength:

  • Venezuela developments: The U.S. capture of Venezuelan President Nicolás Maduro over the weekend rattled traditional markets and drove some safe-haven flows into crypto
  • ETF inflows: Bitcoin and Ethereum spot ETFs attracted $645 million on the first trading day of 2026, suggesting institutional demand remains robust
  • Dollar weakness: The U.S. dollar's continued struggles—down 9.3% in 2025—have historically provided a tailwind for Bitcoin and other alternative assets
  • Rate cut expectations: Markets pricing in Fed rate cuts in 2026 support risk assets generally, including cryptocurrencies

XRP Leads the Altcoin Rally

While Bitcoin commanded the headlines, it wasn't the day's top performer. XRP surged 9% to nearly $2.32, its highest level since mid-November, after breaking through key technical resistance. The Ripple-affiliated token has been among the strongest major cryptocurrencies, benefiting from clearer regulatory expectations under the SEC's new leadership.

Ethereum also posted solid gains, rising alongside Bitcoin as the broader crypto market caught a bid. The combined market capitalization of all cryptocurrencies climbed back toward the $3 trillion mark.

Resistance Levels and Risks

Despite the bullish momentum, traders should be aware of potential headwinds:

  • Technical resistance: The $95,000-$97,000 zone has been a battleground, and sellers may emerge as prices approach the prior highs
  • Institutional rebalancing: January often sees portfolio adjustments that can create volatility in both directions
  • Regulatory uncertainty: While the SEC's stance has softened, comprehensive crypto legislation remains pending in Congress
  • Fed policy: Any hawkish surprise from the January 27-28 FOMC meeting could pressure risk assets including crypto

The Path Forward

For most of January, analysts expect Bitcoin to trade in a range between $88,000 and $95,000, with breakouts in either direction requiring a clear catalyst. The concentration of options interest at $100,000 could create a self-fulfilling dynamic if prices approach that level, with market makers forced to buy the underlying asset to hedge their exposure.

Longer term, the case for Bitcoin continues to rest on its role as a store of value, hedge against currency debasement, and increasingly accepted asset class. With major financial institutions now offering crypto products and several state governments exploring Bitcoin reserves, the asset's integration into traditional finance continues to deepen.

Monday's rally suggests the bears may have overplayed their hand in late 2025. Whether Bitcoin can sustain the momentum and push toward $100,000 will be one of the market's most-watched stories in the weeks ahead.