Bitcoin spiked to $107,000 on Sunday before swiftly retracing, shaking investor confidence and triggering fresh volatility across the market. The move, which many hoped would lead to a clean breakout into price discovery, instead reinforced the current consolidation range between $100K and $105K. Analysts remain divided — some see this as a healthy pause before a bigger push, while others warn of a deeper correction if BTC loses the $100K support.
With price coiling above $100K and major resistance looming near ATH, the next decisive move could set the tone for Bitcoin’s trajectory heading into the summer.
Bitcoin is now at a make-or-break level, as bulls aim to defend the crucial $100,000 support zone. Following Sunday’s failed breakout at $107,000, the price has pulled back into familiar territory, frustrating investors who anticipated a move into price discovery. While some see this as a normal consolidation before the next leg up, others fear a deeper retrace may be underway if BTC loses the $100K floor.
The market faces clear resistance between $105K and the all-time high near $109K — a liquidity zone that could trigger aggressive buying if broken. However, the recent rejection suggests sellers still hold influence at higher levels, and short-term volatility could increase as the tug-of-war between bulls and bears intensifies.
While institutional demand might absorb some of this future supply, with the corporate sector showing renewed interest, the broader market must remain cautious. As price consolidates, investor sentiment hangs in the balance. Whether bulls reclaim higher levels or a deeper correction unfolds will depend on how Bitcoin responds to the current stress test at $100K.
Bitcoin is showing signs of renewed strength as it trades at $105,389, attempting to break above recent resistance near the $106K–$107K zone. This level has capped previous rallies, and reclaiming it would signal a bullish continuation toward all-time highs. The price has successfully defended the $100K psychological support, which now acts as a strong demand zone, reinforced by the 200-day SMA currently around $92,994 and the 200-day EMA near $88,664.
Volume appears to be tapering off slightly compared to the surge earlier this month, suggesting some hesitation among bulls. However, the structure remains intact: a strong breakout from April lows has created a steep and well-defined uptrend. The consolidation just below resistance could form a bullish flag if the $107K ceiling is broken with strong volume.
A failed attempt to hold above $103,600 could invite another retest of the $100K support, where bulls must hold the line to prevent deeper retracements. On the upside, clearing $107K opens the path to $109K and into price discovery. This week’s close will be critical — a strong candle above $106K could set the tone for the next macro leg higher.
Featured image from Dall-E, chart from TradingView
