Bitcoin Cuts Below Key Support—Bargain Hunt or Bear Trap?

Crypto’s bellwether asset wobbles as BTC tests levels not seen since Q1. Traders scramble, hodlers yawn.

Blood in the streets? Not quite—but the 10% dip from last week’s highs has leverage traders sweating. Meanwhile, institutional desks whisper about ’reaccumulation zones’ (Wall Street-speak for ’we missed the bottom again’).

Technical outlook: The $60K support shelf now acts as make-or-break. Break below? Brace for ’crypto winter 2.0’ tweets. Hold? Another ATH run could be loading—just don’t tell the SEC.

Bonus cynicism: ’Risk assets are volatile,’ says hedge fund manager between martini sips. ’Now where’s my Fed bailout?’

Bitcoin Price Corrects Some Gains

Bitcoin price started a fresh increase from the $98,500 support zone. BTC formed a base and was able to clear the $100,000 resistance zone. The bulls even pushed the price above $103,000.

The pair spiked above $105,500 and tested $105,800. A high is formed at $105,728 and the price is now correcting gains. There was a MOVE below the 23.6% Fib retracement level of the upward move from the $95,825 swing low to the $105,728 high.

There was break below a new connecting bullish trend line with support at $103,900 on the hourly chart of the BTC/USD pair. Bitcoin is now trading below $104,500 and the 100 hourly Simple moving average.

However, the bulls are now active NEAR the $100,800 support and protecting the 50% Fib retracement level of the upward move from the $95,825 swing low to the $105,728 high. On the upside, immediate resistance is near the $103,500 level. The first key resistance is near the $104,000 level.

The next key resistance could be $105,000. A close above the $105,000 resistance might send the price further higher. In the stated case, the price could rise and test the $106,000 resistance level. Any more gains might send the price toward the $108,000 level.

More Losses In BTC?

If bitcoin fails to rise above the $103,500 resistance zone, it could start another downside correction. Immediate support on the downside is near the $101,500 level. The first major support is near the $100,800 level.

The next support is now near the $100,000 zone. Any more losses might send the price toward the $98,800 support in the near term. The main support sits at $97,500.

Technical indicators:

Hourly MACD – The MACD is now losing pace in the bullish zone.

Hourly RSI (Relative Strength Index) – The RSI for BTC/USD is now below the 50 level.

Major Support Levels – $101,500, followed by $100,800.

Major Resistance Levels – $103,500 and $105,000.