Key Points
- BTC fell nearly 3% over the past 24 hours and dropped below $110,000.
- Selling pressure continues despite analysts remaining optimistic about BTC’s medium-term outlook.
BTC slips below $110,000 as altcoins decline
The cryptocurrency market has been volatile since the start of the week and now appears to be entering a bearish phase. Bitcoin, the largest cryptocurrency by market capitalization, lost 2.8% in the last 24 hours and is trading below $110,000.
This downward move comes even as several forecasts remain positive for Bitcoin’s medium- and long-term prospects. Asset manager Bitwise projects that Bitcoin could trade near $1.3 million by 2035, citing institutional demand, limited supply and macroeconomic pressure as key drivers.
In its report, Bitwise also outlined alternative scenarios: in a bullish case Bitcoin could reach as high as $2.97 million (39.4% CAGR), while a bearish scenario could see BTC stagnate around $88,005 (2% CAGR).
Major bank JPMorgan has likewise argued that Bitcoin remains undervalued versus gold. The bank suggests digital assets are increasingly attractive for institutional portfolios, which could support higher prices over the medium to long term.
BTC may retest $108k to find support
The BTC/USD 4-hour chart is showing bearish momentum after Bitcoin underperformed in recent days. The coin could decline further in the coming hours as it searches for stronger support.
The Relative Strength Index (RSI) on the 4H chart reads 47, below the neutral 50 level, indicating downward momentum. The MACD line remains in negative territory, suggesting sellers are currently in control.
If Bitcoin closes below the daily EMA at $110,883, it could slide further and retest the recent low near $108,513. A prolonged downtrend would likely push BTC toward the next major support at $103,991, the 200-day EMA.
On the other hand, if the market rebounds and closes back above the $110,000 EMA, the recovery could extend toward the next daily resistance at $116,000.