Bitcoin Slides to $106K Support Zone Amid Market Weakness
Bitcoin is experiencing significant pressure, trending toward $103,000 as the broader crypto market faces a downturn. BTC has lost key support levels, sparking fear and sell-offs in altcoins.
- Bitcoin's critical support zone lies between $106,000 and $107,000, defined by the Short-Term Holder (STH) 1M–3M Realized Price and the 200-day SMA.
- The zone represents a confluence of on-chain and technical supports where past corrections have stabilized.
- If BTC falls below $106,000, it could test $100,000, aligning with the yearly moving average (SMA 365D), a historical reversal point.
Despite concerns, the macro structure remains bullish if the $100K base holds. This level shows long-term buyer interest and could stabilize the market.
- Daily candle closes will indicate if Bitcoin's move below support is temporary or signals a bearish continuation.
- A rebound from $100K would suggest the correction is a healthy reset within a bull market.
- Conversely, breaking lower could indicate ongoing volatility in the current cycle.
Currently, Bitcoin hovers around $106,000, testing critical supports. A breakdown could lead to a test of $100,000. Momentum indicators show strong bearish pressure, with 50-day and 100-day moving averages trending downwards. Without reclaiming $107K, sentiment may remain cautious.
