Bitcoin stabilizes at $104,000 mid-range as market eyes next breakout

Bitcoin faced a dip below $101,000 due to conflicts between Trump and Musk but stabilized at approximately $104,000. Analyst Crypto Daan identifies critical price levels for potential breakouts. If Bitcoin remains below $100,000, further corrections might occur; however, breaking above $106,000 could suggest the end of the downward trend and potential to reach $120,000. Currently, Bitcoin is at $104,650, showing positive weekly and monthly gains.

Bitcoin had a bit of a rollercoaster ride on Thursday, dropping sharply after a public spat between US President Donald Trump and Elon Musk, the world’s richest man. Over the week, Bitcoin had been comfortably trading in the $104,000 to $106,000 range, but tensions flared up and it dipped below $101,000. However, Bitcoin demonstrated resilience and made its way back to around $104,000. Analyst Crypto Daan is closely watching specific price levels to gauge the next potential breakout as another consolidation appears to be forming.

After a notably bullish month in May where it climbed from around $95,000 to nearly $112,000, marking its return to a larger crypto bull market, Bitcoin has experienced a correction. By the end of May, it settled around $104,000, before dipping towards $106,000 in early June and then experiencing a fall last Thursday. Now, the asset is in a price range between $100,000 and $106,000, finding its footing at the mid-point of $104,000.

Daan Crypto notes an important observation: if Bitcoin drops below the $100,000 mark, we might face continued corrections for a duration of 1 to 2 weeks. Historical patterns suggest that in a bearish scenario, support could lie around $95,000 and even down to $85,000. Conversely, should Bitcoin manage to break above $106,000, Daan believes that could signal the end of the recent correction, potentially setting the stage for another exciting phase of price discovery, targeting around $120,000.

As of now, Bitcoin is trading at $104,650, showing a 2.98% increase in just the last day. On a broader scale, it exhibits a 1.12% gain weekly and a robust 7.49% growth over the month, indicating considerable bullish momentum. The Relative Strength Index (RSI) shows a reading of 51.53 on the daily chart, trending upwards, suggesting that Bitcoin’s dip might be coming to an end and hinting at a possible return to an overbought status above 70. With a market cap soaring at $2.07 trillion, Bitcoin remains not just the largest crypto but also holds the title of the world’s fifth-largest asset overall.