Bitcoin (BTC) has reached its highest levels since January, prompting traders to focus on critical price levels that could influence its next moves. Following a peak at $104,000, BTC/USD is currently retracing to establish support, with the $100,000 mark being closely watched by market participants. This price action is significant, considering the $75,000 lows seen earlier this year.
The recent surge, which brought BTC just $6,000 away from new all-time highs, has been driven by headline news, according to data from Cointelegraph Markets Pro and TradingView. The rapid price gains have surprised many, but long-term perspectives indicate the most challenging battleground ahead.
Trader Skew noted in an X post on May 8 that the current impulse was primarily headline-driven, making markets enter a crucial trading period. Bitcoin’s volatility has been highly sensitive to headlines and social media posts involving US President Donald Trump and his trade tariffs. The latest event involves a trade deal between the US and UK, but the duration of this optimism remains uncertain.
Fibonacci retracement analysis reveals that BTC/USD is now in a key zone after breaching the $104,000 mark. Commentator Patric H. highlighted that Bitcoin is at the last technical level before potentially reaching new all-time highs.
Cautionary notes involve order book liquidity at current levels. Data from CoinGlass shows bids being consumed immediately below $103,000, with most interest concentrated below $100,000. To the upside, little resistance remains, as most liquidations have already occurred during the return to six figures.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.
— new from Cointelegraph