Bitcoin's recent price action has drawn attention as traders digest the implications of the US's decision to increase tariffs on Chinese imports to 55%. After an initial rally, Bitcoin's value stabilized just below its all-time high, reflecting mixed sentiment stemming from this trade dynamic. Market analysts, including Keith Alan of Material Indicators, highlight that Bitcoin must avoid price dips below the significant $100,000 mark, identifying both this level and the upcoming 2025 yearly open as crucial supports. Liquidity analysis shows strong sell orders between $111,000 and $120,000, pointing towards obstacles in price advancement. Alan emphasized the psychological importance of maintaining the $100K threshold, predicting that failing to hold this position could harm market sentiment as Bitcoin continues to navigate through various challenges. He states, "Support tests are healthy," pointing towards a long-term bullish sentiment contingent on Bitcoin's ability to consolidate above the key support level. As traders adjust strategies in light of the tariff news, many are adopting a cautious stance, indicating a wait-and-see approach to the ongoing market movements.
Bitcoin Faces Pressure: Maintaining Over $100K Crucial Amid US-China Trade Turmoil
Bitcoin struggles to sustain its position above $100,000 due to rising tariffs on China. Traders are closely monitoring key support levels as market conditions shift.
Jamie Bennett
Crypto Analyst
5 min read
7,972
Analysis
Market Sentiment
Bearish
Neutral
Bullish
News Impact
8/10
Credibility: 9/10
Trading Recommendation
BTC
BTC
SELL
Entry Price
$0
Confidence
60%
Stop Loss
$95000
Take Profit
$110000 - $120000
Given the concerns about US tariffs on China and its potential impact on Bitcoin, it's better to stay sidelined while tightening stop-loss to protect against potential downside.
