Bitcoin Price Prediction After Reaching New High: Will It Pullback to $107,000 or Surge to $135,000?

On July 10, 2025, the price of Bitcoin (BTC) rose, breaking through a new all-time high of $111,999, driven by a surge in market interest in risk assets, a trend stemming from optimistic expectations that The Federal Reserve (FED) may cut interest rates this year. With this wave of increase, Bitcoin's market capitalization has reached $2.21 trillion, and its dominance in the entire crypto market has also reached 65%, close to the same resistance level before the breakthrough in 2020.

Bitcoin's dominance approaches the 2020 resistance level, BTC breaks through the ATH

As Bitcoin breaks through its historical high, interest in Bitcoin continues to rise in the market. According to a report by CoinGape, this rise in Bitcoin is related to market expectations for the Federal Reserve's interest rate cuts in 2025, as well as the upcoming debate on the CLARITY Act, which will pave the way for a more crypto-friendly regulatory environment in the United States.

Due to this pump, Bitcoin's market capitalization has reached $2.21 trillion, and its dominance in the crypto market has significantly increased. The latest data shows that Bitcoin's market dominance has reached 65.38%, and it is testing the same resistance level it broke through in 2020. The last time Bitcoin's dominance broke this level was in December 2020, when the price of Bitcoin rose, and its dominance soared to 73% in less than two weeks.

Breaking this resistance level also caused the Bitcoin price to rise 36% at the end of 2020, from $19,000 to $26,000. If history repeats itself, Bitcoin could rise again by 12%, breaking through to $124,000.

Will BTC drop to $107,000 or rise to $135,000?

From a technical structure perspective, the prediction of BTC prices shows mixed signals. Bitcoin is facing resistance not only in its dominant position but also in its price performance on the daily chart, which encounters similar challenges. Since May 2025, Bitcoin's performance has exhibited a price fractal pattern, where new highs often emerge before the price retraces to the support range between $102,000 and $103,000.

If history repeats itself, Bitcoin may pull back after reaching a new high in the near term, with initial support likely below $107,000, specifically around the 61.8% Fibonacci retracement level at $106,753. As the rising parallel channel has created further resistance, failure to break through this channel could lead to further corrections.

On the other hand, due to the presence of various bullish factors in the market (such as the upcoming crypto week), the price of Bitcoin may also break through this resistance range. If this happens, the price could rise to $135,000, reaching the 261.8% Fibonacci retracement level of $134,231.

In addition, the rise of the RSI indicates that the Bitcoin price still has room to rise, with the current RSI value at 62, suggesting that the market is still in a strong upward momentum and has not yet reached the overbought zone, therefore there is still room for further increases.

Summary

Bitcoin prices are rising, which has also led to its dominance reaching a multi-year high and facing strong resistance. Unless the market buying habits change and more traders are willing to buy Bitcoin at ATH, there may be a risk of a pullback to $107,000.