BTC Price Dips Below $105K Amid Market Reset, Analysts Call It a “Controlled” Pullback
The BTC price slid under $105,000 on Friday, tagging a 15-week low and revisiting supports first probed during last week’s tariff-sparked selloff.
Short-term momentum has weakened after repeated failures to hold above $112,000–$116,000, leaving price compressed between a $104,000–$107,000 demand zone and heavy resistance near $120,000–$124,000 (the prior ATH band).
Technicians note that BTC price has now interacted with its 200-day moving average for the first time in six months, while the 20- and 50-day MAs trend lower, typical of a cooling phase after a vertical rally.
BTC Price Tests $104K–$107K Support as Leverage Clears
Despite the headline drop, Bitcoin’s derivatives data and positioning point to a “controlled deleveraging” rather than panic. Open interest has reset to mid-year levels and funding flipped negative during the flush, indicating speculative longs were forced out.
Spot flows remain steadier by comparison, suggesting long-term holders are largely unmoved.
If bulls reclaim $110,000–$113,000, a relief bounce toward $116,000–$120,000 is plausible; lose $104,000–$106,000, and many traders eye the $101,000–$102,000 “wick fill,” with some warning a swift tag of $98,000–$100,000 if liquidity thins.
Macro Cross-Currents: Banks, Gold, and the Fed
Macro stress amplified the move. Renewed pressure on U.S. regional banks, echoing the 2023 episode, fed risk-off flows just as U.S.–China trade tensions re-flared.
Meanwhile, gold printed fresh highs, highlighting a safe-haven bid while crypto cooled. Market odds favor a potential Fed rate cut at the late-October and early-November meeting, which could ease financial conditions and support a Q4 crypto rebound; a hawkish surprise, however, would likely extend consolidation.
Bitcoin ETF flows have moderated from a record pace, with select U.S. crypto funds posting net outflows this week as investors de-risk.
Nonetheless, the broader investment case, ETF access, institutional adoption, and a structurally constrained BTC supply, remain intact, according to several desks framing the slide as a healthy reset after “Uptober’s” exuberance.
Altcoins Underperform While Bitcoin Dominance Rises
Altcoins extended losses as liquidity rotated into BTC and stablecoins. ETH, BNB, SOL, XRP dropped 7-12% on the day, while higher-beta names like DOGE and ADA fell more sharply week-to-date. Historically, this phase of rising BTC dominance persists until Bitcoin stabilizes and risk appetite returns downstream.
Key levels to watch include a BTC price Support $104,000–$106,000, then $101,000–$102,000; Resistance $110,000–$113,000, $116,000, and $120,000–$124,000.
A decisive close back above $120,000 would reassert the uptrend and put new highs back in focus. Until then, analysts expect rangebound, catalyst-driven BTC price action as leverage stays light and the market digests macro signals.
Cover image from ChatGPT, BTCUSD chart on Tradingview
You May Also Like
FTX Trust Sues Genesis Digital for $1.15B Clawback Over Alleged Fraudulent Transfers
Ripple-Backed Evernorth Faces $220M Loss on XRP Holdings Amid Market Slump
