Amid the ongoing online feud between Trump and Musk, Bitcoin (BTC) has been fluctuating within its local price range, recently hitting a one-month low near the $100,000 support level. Some analysts believe the cryptocurrency is gearing up for a significant price increase toward a new all-time high (ATH).
In the past 24 hours, Bitcoin exhibited notable volatility, influenced by the conflict between US President Donald Trump and Elon Musk, owner of Tesla and X. The price of Bitcoin dropped over 5% on Thursday afternoon, falling from the $105,000 mark to the $100,000 support level. Prior to this decline, BTC was attempting to regain its local mid-range after recent performance highs.
Following its ATH rally to $111,980, Bitcoin traded sideways within a price range of $106,800 and $109,700. However, the cryptocurrency lost the crucial $106,800 support during last week's market retracement, dropping to $102,000 over the weekend. Since then, BTC has been trying to recover its current levels, and after yesterday's decline, it surged by 4.5%, surpassing the $104,000 level.
Crypto trader Coinvo highlighted Bitcoin's one-year chart, noting a similar price action pattern between 2024 and 2025. According to the chart, Bitcoin experienced its first significant pump after reclaiming its yearly opening level, consolidating within a new range for weeks before reaching its Q1 2024 ATH. This year, the cryptocurrency has shown a similar, albeit delayed, performance, having reclaimed its yearly opening range and experienced its first major price surge in May.
Analyst Alex Clay suggested that Bitcoin is on the verge of a "real breakout" after retesting the mid-zone resistance of the range in Q1 2025 and a "false" breakout last month. Clay stated, “We grabbed the liquidity below the Broken Supply Zone. Now looking for a Real Breakout” aiming towards the $120,000 mark.
The Cryptonomist observed that Bitcoin is currently forming a 3-week bullish falling wedge with the lower boundary around the $101,000 level. Following the recent price drop, BTC rebounded from this area and could potentially break out of the pattern if it reclaims the $105,000 barrier as support, aiming for the $118,000-$120,000 levels.
Meanwhile, market analyst Daan Crypto Trades pointed out that Bitcoin's price is now trading at mid-range again, close to the monthly opening price. He indicated that “it’s pretty safe to assume that these range high/lows are good triggers for whatever larger trend follows,” as BTC tends to exhibit significant price movements early in the month.
As previously explained, Bitcoin often establishes its monthly high or low in the first week of the month, followed by a reversal and a continuation of the trend until the new month begins. Based on this pattern, he cautioned that if the price falls below yesterday’s lows, it may trend downward for another week or two, indicating “weakness and confirming a larger correction is due.”
However, if the price exceeds the monthly highs around the $106,700 mark, “the correction is more likely to be over and there’s a good likelihood that we head to all-time highs and beyond.” He concluded that there is a “good chance we range around this area for a while, though, without any of these levels breaking.”
As of the latest updates, Bitcoin is trading at $104,224, reflecting a 2.6% increase in the daily timeframe.
