TLDR
- Bitcoin price trades near $107,500 with repeated retests weakening the support zone.
- Next supports stand at $104,400 and $100,200 if $107,500 breaks.
- Weekly RSI at 53 signals fading bullish momentum after divergence with price highs.
- FOMC meeting timing adds volatility risk as traders await Federal Reserve guidance.
Bitcoin price remains under pressure as it trades close to the $107,500–$108,000 support zone. This range, which once acted as resistance, is now being tested repeatedly. The repeated challenges at this level increase the risk of a breakdown, leaving traders cautious. Analyst are monitoring the situation closely, with upcoming macroeconomic events adding further uncertainty.
Bitcoin Price Holds at Critical Support Zone
Bitcoin price has retreated from the highs near $122,000 and now lingers around its lower trading boundary. The $107,500 level marks the immediate support line, with analysts warning that sustained pressure here could expose the market to further losses.
The structure shows that buyers recently failed to maintain control after forming a lower peak near the range highs. Unless the $112,000 area is reclaimed, the market may remain vulnerable. Technical traders often view this level as a turning point, yet momentum has weakened considerably.
Daily Chart Signals Fragile Momentum
Furthermore, the daily chart paints a fragile picture. Bitcoin price has broken down from its higher structure and continues to struggle below moving averages. Each retest of $107,800 appears weaker, suggesting reduced buyer strength. If this zone fails, the next support rests near $104,400, with $100,200 marking a deeper safety net.
BTC/TetherUS 1D Chart | Source: X
Price weakness could trigger a sharper selloff. Liquidations often accelerate when such psychological and technical levels fail, leading to broader volatility. Traders recognize these zones as defensive lines, but history shows that repeated testing usually leads to eventual breakdown.
BTC Weekly Chart Momentum
In addition, the weekly chart adds to the cautious outlook. Bitcoin price action shows that the $107,000–$112,000 range, previously a strong barrier, is now being tested as a floor. Candlestick patterns reveal fading momentum, with a series of red candles signaling profit-taking after rejection near $120,000.
BTC/USDC 1W Chart | Source: X
Even so, the range remains pivotal. If buyers can defend the zone with conviction, it may provide a base for recovery. However, repeated retests weaken the foundation, and any decisive break could push the market toward the mid-$90,000s. This level represents not only a technical checkpoint but also a test of investor confidence.
RSI Divergence Reflects Weakening Strength
At the same time, the Relative Strength Index (RSI) reinforces concerns. Weekly readings sit around 53, down sharply from earlier highs near 70. Momentum indicators show divergence, with price making higher highs while RSI drifted lower. This disconnect was an early warning that bullish strength was fading.
Building on that, the downward RSI trend suggests buying interest is no longer as dominant as it was earlier this year. Momentum-driven traders may hesitate, waiting for signs of stabilization before committing to fresh positions. This hesitation could increase selling pressure if support fails.
Bitcoin Price Ahead of FOMC Decision
The timing of the Federal Open Market Committee meeting adds another layer of uncertainty. Markets often react strongly to Federal Reserve policy signals, especially when assets hover near key levels. Traders expect volatility to rise around the announcement.
Bitcoin price stability at $107,500 may hinge on the Fed’s trend. A dovish outlook could encourage temporary relief rallies, while a hawkish stance may accelerate losses. The technical picture already looks fragile, leaving little room for error if selling momentum intensifies.
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