Bitcoin has fallen by more than 7% from a historical high of nearly $112,000, facing important technical and psychological tests. This answer comes amid a new wave of global uncertainty as the United States and China reignite the tariff struggle, shocking investor confidence and injecting volatility into financial markets. Despite the huge headwind, Bitcoin is still attracting attention to hedging systemic risks and political unrest.
The current merger puts Bitcoin slightly above $105,000, a level that many analysts are paying close attention to. According to top analyst Big Cheds, BTC is now approaching the 4-hour moving average of 200 people (MA), a historically important dynamic support in previous bull cycles. A rebound from this level can confirm the ongoing bullish momentum, while the failure to hold the momentum could make the market more unfavorable and raise wider risks across the cryptocurrency.
With Altcoins’ pressure, market participants are closely monitoring BTC’s next steps to measure broader sentiment. The upward trend can be resumed if the Bulls manage to defend their main support and get higher levels. But as Bitcoin navigates between technological structures, macroeconomic pressures and liquidity transfers across the market scope, the days ahead will be crucial.
Bitcoin testing supports as the market waits for targeted break
Bitcoin is currently testing a critical demand zone, after a record high of $112,000, which is the $103,000 level. Momentum has changed after several breakout attempts in recent days, while BTC has retreated during the wider market cooling. The move adds short-term uncertainty, but prices remain within the higher bullish structure.
Macroeconomic tensions continue to affect the crypto landscape, with rising U.S. treasury production indicating deeper systemic pressure. Investors are gradually navigating volatility as global markets react to ongoing U.S.-China trade disputes and mixed economic signals. Nevertheless, as long as the Bull defends critical support levels, Bitcoin’s callbacks may experience a healthy merger phase rather than a trend reversal.
Cheds highlights Bitcoin’s rapid approach to the 4-hour moving average, currently close to $102,500. This is a historically reliable level of dynamic support, which marked a key reversal point in previous bull stages. A successful defense against this level may mark the end of the answer and start the next leg higher. However, the fault below may open the door to correct the $98K – $100,000 area more deeply.
With BTC hovering in almost support, the upcoming meeting will be decisive. Keeping over 4H on the 4h MA 200 can restart bullish sentiment and restore upward momentum, and failure to do so may shift the focus to a more defensive trading setup in the crypto market.
BTC tests daily support zone after 7% recycling
Bitcoin is now trading at close to $103,300, testing key support levels with previous range highs of $103,600. After reaching a new all-time high at $112,000 earlier this week, BTC retreated more than 7%, triggering a wave of uncertainty across the market. The support zone matches the 34-day EMA at a price of $102,548, making it a key area for focusing on the bulls designed to re-momentum.
The graph shows that despite the recent decline, BTC still maintains a strong upward structure. The number of declines increased slightly this time, which indicates some profit, but has not paniced sales. Prices are still above all major daily moving averages, including 50, 100 and 200-day SMAs that remain tilted upward, indicating that the long-term trend structure is intact.
The rebound at the current level will be confirmed as $103,600 as a new support building and opens the door to another attempt to reclaim the $109,300 resistor. However, if the bears are below that area, the downside risk of the next major demand area will increase to $98,000. With the construction of macroeconomic pressures and the over-scaling of Bitcoin’s previous rally, it may be necessary to integrate this level before the next stage.
Featured images from DALL-E, charts from TradingView
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