Bitcoin above six figures has traders electrified—but while headlines obsess over price, the real story is supply, flow, and psychology colliding in a way we haven’t seen before. Bestselling author Robert Kiyosaki just laid out four reasons he keeps buying Bitcoin, and whether you agree or not, those points map directly to the signals that typically drive multi-week momentum, violent reversals, or both.

What’s new: Kiyosaki’s four-point bull case

He highlights a fixed cap of 21 million coins, the network nearing ~20 million mined, rising institutional adoption via spot ETFs, and intensifying FOMO as price holds above $100,000. Translation for traders: a structurally constrained float, demand that increasingly pulls coins off exchanges, and a feedback loop where higher prices invite new bids and reduce liquid supply further.

Why this matters to traders

When issuance trends lower and ETFs accumulate from exchange reserves, tradable supply thins and books become more fragile. That amplifies both breakouts and drawdowns. With BTC around $109,406, round-number levels like $100K and $110K act as psychological magnets where liquidity clusters. A scarcity narrative plus visible inflows can sustain trend—but it also compresses exit liquidity if sentiment flips.

Key risks to price at six figures

- Reflexive FOMO: Late-cycle chases can form blow-off tops. Expect 10–25% pullbacks even within an uptrend. - Leverage build-up: Elevated funding and crowded long positioning increase liquidation cascades. - ETF flow reversals: Net outflow days can pressure price when spot liquidity is thin. - Miner dynamics: Lower issuance doesn’t eliminate miner sell pressure, it just changes cadence. - Macro shocks: Rates, USD strength, or risk-off can puncture sentiment faster at stretched levels.

Actionable game plan

• Track supply and flow: Monitor exchange reserves, spot ETF net flows, and stablecoin liquidity; rising inflows with falling reserves supports trend continuation.
• Measure leverage: Watch funding rates, OI vs. market cap, and long/short skew; fade extremes or hedge when crowding spikes.
• Plan entries around liquidity: Use laddered bids near prior breakout/retest zones (e.g., psychological levels) instead of chasing strength.
• Define invalidation: Pre-set stop levels or options hedges; protect against 15–25% pullbacks typical in BTC trends.
• Scale with discipline: DCA on weakness, take partials into vertical moves, and avoid sizing decisions driven by FOMO.
• Watch timing: U.S. cash hours often drive ETF-linked flows; align entries with session liquidity where possible.

Bottom line

Kiyosaki’s four reasons—scarcity, near-full issuance, adoption, and psychology—capture today’s setup: strengthening demand versus a structurally constrained float. That’s rocket fuel for trends and a warning label for late chasers. Your edge isn’t guessing the next $10K—it's executing a plan that respects both momentum and risk.

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