Bitcoin Risks Pullback To $105,000 After Facing Rejection Above $110,000
Bitcoin has faced a lot of resistance above $110,000, suggesting the bears are trying to keep the digital asset from reclaiming its all-time high levels. This has been obvious with multiple rejections above $110,000 over...
Bitcoin has faced a lot of resistance above $110,000, suggesting the bears are trying to keep the digital asset from reclaiming its all-time high levels. This has been obvious with multiple rejections above $110,000 over the last few days, while the bulls have held support above $108,000. This trend plays into an analysis published by crypto analyst TehThomas, who had forecasted the rejection from $110,000. But what’s more interesting is where Thomas sees the price going from here.
Bitcoin Could Drop For Shallow PullbackIn the analysis, Thomas explained what is happening with the Bitcoin price and why the pullback could happen. This begins with the breakout after falling toward $100,000 and then bouncing back again. The digital asset was able to quickly clear multiple fair value gaps on the 4-hour timeframes to claim its spot above $110,000.
The crypto analyst explains that this move has triggered a shift in the sentiment toward the positive, and this has been followed by rising volumes, as well as impulsive candles. In all, this is quite bullish for the cryptocurrency. However, there is still a risk of a price decline from here.
After filling multiple fair value gaps with strength, the crypto analyst believes this has set a precedent for the Bitcoin price. He expects the same pattern to play out for the cryptocurrency, which includes a rapid rise before a shallow pullback, and then a continuation from there.
BTC Pullback Into $104,000 TerritoryThe Bitcoin price recovery above $110,000 seems to have created a fair value gap below $107,000, which the crypto analyst believes will need to be filled. If this is the case, then it is possible that the price rally will not continue until this condition is fulfilled. Nevertheless, a pullback to the level would not be bearish, but rather provide a bounce-off point for the price recovery.
Thomas referred to this trend as “a classic breakout-fill-continue sequence”, and the next thing in line is to fill the fair value gap. According to the shared chart, the crypto analyst sees the pullback taking the price back down below $105,000 and into the $104,000 territory before its next bounce. This would mean a 5% pullback, and going by the trends from this year so far, something that would be bad for altcoins.
However, the conclusion remains that Bitcoin is still bullish from here. Once the fair value gap is filled, a strong push upward is expected, possibly toward new all-time highs. “I’m expecting a controlled retracement to fill the new 4H imbalance, after which price could continue pushing toward the major resistance area,” the analyst said. “The momentum is clean and structured—until that changes, continuation remains the more likely path.”
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