Bitcoin Faces Critical Juncture After Bouncing from Support Level
As Bitcoin (BTC) rebounds from a major support level, a popular crypto analyst is outlining two potential paths the leading cryptocurrency could take in the near future.
Justin Bennett, a well-known crypto trader, took to social media platform X to share his insights with his extensive following of 115,700 users. He emphasized that the current moment is crucial for Bitcoin, as failure to rally could result in a drop below $100,000.
Reflecting on recent price movements, Bennett pointed out that Bitcoin faced resistance at $110,000 and $106,600 in May before dropping to $100,000. Following a bounce back to $104,000 during the Asia session, he posed the question of whether BTC would fill the gap at $97,000-$98,000 or reclaim the $104,000-$105,000 range.
In a positive scenario where Bitcoin bounces off $100,000 and climbs to $104,000, Bennett suggested that a further rise above $106,000 could be on the horizon.
Aside from technical analysis, Bennett also highlighted the potential impact of external factors on Bitcoin’s price, including the performance of the US stock market and the dominance levels of Tether (USDT), the largest stablecoin globally.
According to Bennett, monitoring Tether’s dominance at 5% could provide insights into potential price movements for Bitcoin, as USDT dominance tends to move inversely to BTC.
At the time of writing, Bitcoin is trading at $105,202, marking a slight increase for the day.
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