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Bitcoin Crypto

Bitcoin Under Increasing Pressure: Geopolitical Tensions and Market Uncertainty Pose Threat to Crucial $100,000 Support Level

Bitcoin price remains under pressure as rising geopolitical tensions in the Middle East and fresh trade uncertainties bring considerable weight down on market sentiment. Having briefly touched its all-time high earlier this week, BTC fell below $105,000 due to more than $1.15 billion liquidations throughout the crypto market. Even with some positive indicators, including continued institutional demand and large inflows into US spot Bitcoin ETFs, bearish technical signals like a fall below the 50-day EMA and a bearish MACD crossover indicate that Bitcoin may test the all-important $100,000 psychological support level if selling pressure continues. KEY LOOKOUTS • Ongoing conflict between Israel and Iran is continuing to drive global risk aversion, which pressures Bitcoin and other asset classes. • Institutional demand is strong in public companies and ETFs, with more than $1.07 billion in inflows to ETFs this week providing a degree of support to sentiment at the longer end. • Bitcoin’s fall below its 50-day EMA and bearish MACD crossover signal increased downside risk, with a retest of the $100,000 psychological figure a possibility. • Soft inflation readings could be supportive for risk assets in the longer run, but near-term uncertainty persists given conflicting market responses. Bitcoin remains under pressure as a mix of rising geopolitical uncertainty and unclear macroeconomic conditions sadden sentiment among investors. The Israel-Iran conflict has caused generalized risk-off flows leading to major liquidations in the cryptocurrency space. In spite of early-week optimism fueled by positive news in US-China trade negotiations and easing inflation data, Bitcoin was unable to hold onto its rally, falling below critical support levels. Strong institutional buying, especially from public firms and US spot Bitcoin ETFs, provides a hint of relief for long-term investors even as short-term bearish indicators indicate a possible retest of the $100,000 psychological threshold. Bitcoin wrestles to maintain above $105,000 with increased Middle East tensions and risk-averse market sentiment. Even as institutional inflows remain robust, bearish technical indicators indicate that BTC would test the important $100,000 support level if sell pressure persists. • Bitcoin price dips below $105,000 following a 4% decline in the last two days. • Rising Israel-Iran tensions provoke more than $1.15 billion in crypto market liquidations. • US-China trade optimism-fueled early-week gains erode under revived tariff threats. • US inflation figures softened as anticipated, yet still couldn’t give a boost to BTC’s price short term. • Public equities such as GameStop and Mercurity Fintech keep adding Bitcoin positions. • US spot Bitcoin ETFs witness $1.07 billion net inflows, ending two weeks of outflows. • Technicals suggest more downside risk with potential retest of support at $100,000. Bitcoin remains of great interest to institutional investors and public firms even though the market is presently experiencing a cautious mood. Companies such as Mercurity Fintech Holding Inc. and GameStop have recently issued large capital raises, with part going toward accumulating or creating additional Bitcoin holdings. This emerging interest on the part of established firms reflects Bitcoin’s increasing position as a strategic asset that can provide diversification and even long-term value protection in uncertain global economies. BITCOIN DAILY PRICE CHART SOURCE: TradingView Furthermore, US Bitcoin ETFs are demonstrating renewed vitality by logging more than $1.07 billion in inflows this week following a short stint of outflows. This uptick is indicative of unabated confidence from institutional investors that see Bitcoin as a sound investment even within the context of greater market volatility. The robust engagement of public companies and funds indicates that in spite of short-term market difficulties, long-term use of Bitcoin remains firmly entrenched. TECHNICAL ANALYSIS Bitcoin is showing signs of increasing bearish momentum. The price has fallen below the 50-day Exponential Moving Average (EMA) at $102,447, indicating potential for further downside. The Relative Strength Index (RSI) has slipped below the neutral 50 mark, currently reading 47, which signals weakening bullish strength. In addition, the Moving Average Convergence Divergence (MACD) line has developed a bearish crossover, creating a sell signal and indicating possible sustained pressure to the downside. If Bitcoin is unable to maintain above today’s levels of support, it could test the significant psychological level of $100,000. FORECAST If geopolitical risk eases and global risk appetite improves, Bitcoin could continue its positive momentum. Ongoing institutional demand, robust ETF inflows, and potential relaxation in US monetary policy as inflation cools down could aid a rebound. In this case, Bitcoin could try to retest its recent highs around $110,000 and potentially hit its all-time high of $111,980, given buying pressure remains intact. On the flip side, if geopolitical uncertainty increases further or if wider market uncertainty continues, Bitcoin could see more selling. A breakdown below the 50-day EMA on a closing basis could pave the way for a more severe correction towards the important psychological level of $100,000. A failure to hold at this support could initiate further liquidation, taking prices even lower in the near term.

Bitcoin Crypto

Bitcoin Price Doodles in Neutral Zone Between 20-Day EMA Resistance, Crucial $106,400 Breakout

Bitcoin price is trapped in a six-day consolidation period, unable to overcome the resistance of the 20-day exponential moving average (EMA) at approximately $105,300. Following its recent jump from $100,700 to an all-time high of $112,000, price has lost momentum, leading price to trade in a very narrow range between major Fibonacci support and resistance levels of $106,400 and $103,100. Since Relative Strength Index (RSI) shows weak momentum and price has not managed to re-take the 20-day EMA, near-term direction favors continued downside risk. A clear break above $106,400 is essential for bulls to bring back uptrend, while a fall beneath $103,100 may bring on heightened selling pressure. KEY LOOKOUTS • Observe whether Bitcoin manages to break and sustain above this key moving average that has arrested recent attempts at a rebound. • A breakout above this resistance with success may indicate a bullish continuation towards the all-time high of $112,000. • This level has consistently drawn in buyers; a breakdown here can initiate heightened selling pressure. • Observe the RSI, particularly the reading on the 4-hour around 44, as a consistent move upwards can signal fresh buying strength, while further decline indicates ongoing bearish bias. Bitcoin price action is in a precarious state as it hovers in consolidation below the 20-day EMA, indicating market indecision following its recent sharp bounce. The cryptocurrency is caught in between solid resistance at $106,400 and key support around $103,100, with momentum gauges such as the RSI indicating limited upside. This lateral motion indicates that the market is holding back for a definite catalyst to initiate the next move, with a close above the 20-day EMA and the 50% Fibonacci level required to revive bullish impetus. Alternatively, a breakdown below support could lead to lower levels, keeping the short-term outlook in doubt and highly susceptible to key technical levels. Bitcoin remains trading sideways, rejections at the 20-day EMA and supports around $103,100. The absence of momentum and level RSI indicates indecision, and a break above $106,400 would be required to bring back bullishness. Otherwise, bearish risks are in the limelight. •  Bitcoin is ranging for the sixth consecutive day, between resistance at $106,400 and support at $103,100. • The 20-day EMA at $105,300 is forming a solid resistance, limiting all recent bounce efforts. • Price flashed a minor rally during the Asian session but could not maintain gains, reversing lower around $104,500. • RSI on the 4-hour chart is approximately 44, reflecting weak bullish buying pressure and possible downside bias. • A breakdown below $104,300 may result in a retest of $103,100, a major Fibonacci support level. • A strong breakout above $106,400 is required to resume the larger uptrend toward the record high of $112,000. • Deflated funding rates and recent long liquidations indicate the market could be resetting before a possible breakout. Bitcoin’s recent price action is indicative of a phase of uncertainty within the market as investors swallow recent profits and reconsider direction. Following a robust start to May, the momentum has tapered, with players seemingly holding back for new signals before opening new positions. This lull follows a wider sense of uncertainty among the global financial system, as macroeconomic considerations and sentiment increasingly influence short-term trading. BITCOIN DAILY PRICE CHART CHART SOURCE: TradingView Throughout this consolidation phase, activity has been range-bound, implying that buyers and sellers are in a cautious mood. The muted action reflects a transient equilibrium in which neither has managed to prevail. To investors and observers, this type of situation tends to lead to a more forceful move in either direction, as the market accumulates pressure for a more definitive breakdown or breakthrough in the coming days. TECHNICAL ANALYSIS Bitcoin is encountering firm resistance at the 20-day exponential moving average (EMA) level of about $105,300 that has consistently checked upward efforts. The price continues to be stuck in a defined range with $106,400 as the 50% Fibonacci retracement level of the recent rally and a key resistance level. Support, on the other hand, comes in at $103,100, which aligns with the 0.786 Fibonacci retracement. The Relative Strength Index (RSI) on the 4-hour scale is fluctuating near 44, showing weak momentum with no distinct bullish strength. As long as Bitcoin fails to break convincingly above the 20-day EMA and $106,400, the technical setup is inclined towards further consolidation or a potential retest of lower support zones. FORECAST If Bitcoin is able to break through the 20-day EMA and the $106,400 resistance level, then it may unleash fresh bullish momentum and make way for a push towards the previous all-time high at $112,000. Such a breakout will reflect a change in short-term sentiment and prompt new buying interest and perhaps even attract institutional investors into the market. A close above $106,400 would also invalidate the present consolidation pattern, implying that the larger uptrend from $100,700 would resume. On the negative side, not being able to hold above $104,300 would add to selling pressure and drive Bitcoin into the important support of $103,100. A firm break below this would potentially encourage a deeper correction and potentially draw additional liquidation from leveraged longs. If the support does fail to hold, bearish momentum could extend, extending the retracement to lower psychological levels, eroding recent gains and turning market sentiment more defensively.