Bitcoin Drops to Nine-Day Low Below $106,000 Amid Market Cooldown
Bitcoin (BTC) fell to a nine-day low of $105,750 before recovering slightly above $106,000, marking a 1.5% decline over 24 hours. Despite this dip, BTC remains within 5% of its all-time highs.
The CoinDesk 20 index dropped by 0.9%, with Solana (SOL) and Avalanche (AVAX) experiencing losses of 1.8% and 2%, respectively. In contrast, Ethereum (ETH) and XRP gained 1%-2%.
Crypto stocks had mixed performance; Coinbase (COIN) was down 2.7%, while MicroStrategy (MSTR) rose by 0.8%. Bitcoin mining firms such as Bitfarms (BITF) and CleanSpark (CLSK) reported approximately 4% losses.
In traditional markets, U.S. equities retreated following the reinstatement of tariffs by a U.S. appeals court, adding uncertainty for investors. LMAX Group's Joel Kruger anticipates volatility but suggests potential upside for digital assets, noting BTC's resilience below $100,000 for 20 days.
Ether shows strength
Analysts observe that ETH is showing signs of breaking its prolonged downtrend against BTC, bolstered by SharpLink Gaming’s $425 million fundraising. Arthur Aziz from B2 Ventures highlights key price levels: $2,750 as resistance and $2,550-$2,450 as support. He notes ETH is forming a bullish ascending triangle, which could lead to a breakout towards $3,000, although excessive leverage in futures could result in a sharp decline if support levels are breached.