Bitcoin is under pressure as it tested the key support level of 105k $105K after it recovered from its latest all-time high of $112K. Amid rising market uncertainty, the pullback was triggered by the federal court’s temporary resumption of tariffs on dozens of countries by former President Donald Trump. This unexpected legal development has added new volatility to global markets, exacerbating speculation and tensions in risky assets, including cryptocurrencies.
Despite a big uptrend in recent months, BTC is now facing a critical moment. The Bulls are trying to defend the $105,000-$106K area, which has become a short-term demand zone. Decisive decomposition below this level can open a deeper door to backtracking, and a strong rebound may reaffirm the broader bullish structure.
In addition to a cautious attitude, chain-chain data from crypto volumes suggests that the number of net receivers that Bitcoin has accumulated net received has become negative, indicating an increase in aggressive sales. This bearish power suggests that sellers are currently dominating market orders and may undermine upward momentum if demand is not fast.
Bitcoin keeps production line as bears increase pressure
Bitcoin is testing a critical support zone, just above $105K, which can define the next phase of the cycle. BTC has cooled after reaching an all-time high of $112,000 and now, with global economic tensions exploding, the market is on the edge. The ongoing tariff standoff between the United States and China is reshaping macro conditions, triggering volatility and defensive behavior across the market.
Despite these headwinds, Bitcoin seems to be relatively good. Unlike stocks and certain risky assets, BTC and ETH continue to show resilience in the face of macroeconomic uncertainty. Many investors see Bitcoin as a hedge against systemic pressure, and current price action supports the paper.
Despite this, the pressure is still under construction. Top analyst Axel Adler shared key insights that bears have been putting huge pressure on the past five days, with strong seller sales, indicating increased short-term uncertainty. This trend shows that while long-term holders remain confident, short-term traders are actively selling their power and are likely to make any breakthrough attempts immediately.
If Bitcoin manages to maintain its current level and absorbs sales pressure, it may trigger an impulse movement, confirming a wider uptrend. However, the support below may induce deeper backtracking and testing market confidence. With volume spikes and decisive sentiment in global headlines, the coming days may be crucial to Bitcoin’s short-term direction.
Price action details: BTC test demand
The 4-hour chart shows that Bitcoin failed to retract the $109K resistance level after withdrawing to test the $105K-$106K support zone. Price action has weakened since the rejection, with the nearly 112K selling for $112,00, with the successive lower highs and lower lows forming in recent courses. BTC is now trading below 34 period EMA and 50 and 100 SMA, indicating that short-term bearish momentum is attracting.
$105K support is crucial. Not only is it the basis of the last merger zone, it is also at $103,600 above the horizontal level, marking a breakthrough structure in early May. Failures below this range may trigger increased sales pressure and open the door to retesting the 200 SMA for $102,000.
The volumes remained higher, and the recent candles showed strong sell-side activity, consistent with the crypto data, indicating that net income earner volume increased the strength of bearish volume. However, the Bulls still have a chance to defend the area and reset the trend. A successful rebound from here, followed by a $109K recovery, will restore power and potentially improve to the next leg. Until then, BTC still had scope restrictions in the short term and was susceptible to further declines.
Featured images from DALL-E, charts from TradingView
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