Bitcoin rose back above $111,000 today, reaching a weekly close high near $111,369. Analysts expressed mixed opinions regarding this rebound; some saw it as positive while others indicated an even deeper drop might occur if bullish momentum falters.
Support at $110K held steady, sparking optimism. Crypto analyst and trader Michael van de Poppe commented on X: “It makes a new higher low and holds support at $110K; would be great to break through that mark and unleash another bull run!” (Cointelegraph).
Market sentiment remains cautious. Citer X, an expert analyst, highlighted this point by warning investors.
Cointelegraph’s Crypto Tony provided this assessment:
“$BTC remains near $111K but structural evidence points toward a potential dip. If momentum stalls below $112K, I anticipate a pullback towards $108K support.” She suggested two scenarios; either we flip $113,000 and push it higher or reject here and see it drop towards $100,000.
Cointelegraph WATCHER TurboBullCapital provided critical technical thresholds, noting the 50-day and 200-day simple moving averages currently sitting at $115,035 and $101,760 respectively. They warned:
Lose the $107K area & your target falls to $101K which coincides with MA200 level; this area offers the potential for a rebound.”
Technical analysis using Fibonacci retracements illustrates the downside risk. According to Cointelegraph, Bitcoin tends to bottom at around the 0.382 Fibonacci level – approximately $10K below current prices and therefore representing roughly 10% decline from current values.
Cointelegraph’s trader ZYN confirmed these patterns.
“So the worst-case scenario for the market could be a 10% drop followed by a 50% rally above $150,000.” Cointelegraph This Will Change Things for Sure
Bullish Potential: Should BTC break above $112K, this could spark new buying momentum and give buyers another reason to increase their holdings.
Risk of Retracement: Failing to reach $112K could signal the start of a pullback toward $108K or, in an extreme scenario, even $100K.
Historical Support: The $100K region is well protected by its 200-day moving average and historical Fibonacci retracement levels, acting as a failsafe protection zone in case something unexpectedly goes wrong.
At present, Bitcoin’s price action demonstrates a cautious equilibrium: Bitcoin remains within key support levels but requires a push over $112K in order to reduce risk and potentially recover. Otherwise, a drop to around $100K remains plausible before possible recovery. Cointelegraph reported on this earlier.
