Bitcoin (BTC) encountered significant selling pressure on Thursday, with a substantial "sell wall" forming above the $105,000 mark, hindering further price increases. This resistance coincides with anticipation surrounding a crucial US trade tariff ruling, which could have broader implications for the stock market and potentially influence cryptocurrency movements.
Key Takeaways
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Bitcoin faces a significant cluster of sell orders above $105,000, acting as a strong resistance level.
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Traders are monitoring buyer interest around $100,000, which could signal a potential dip if the price falls.
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An upcoming US Supreme Court decision on international trade tariffs is a key event to watch, with potential impacts on both stocks and cryptocurrencies.
Bitcoin's Price Action and Market Sentiment
Data from Cointelegraph Markets Pro and TradingView revealed that Bitcoin's rebound attempt faltered after the daily market open. Bulls struggled throughout Wednesday's trading session, with exchange order book data clearly showing a large volume of sell orders positioned just above the current price. This "wall of asks" at $105,000 has effectively capped Bitcoin's upward momentum.
Some analysts suggest that this liquidity could be a tactic to drive the price lower, potentially towards the $98,000 to $93,000 range. However, others point to the 50-week Simple Moving Average (SMA) as a potential support level, suggesting that a bounce from this indicator could have long-term bullish implications for Bitcoin.
There is also speculation that the significant sell orders above $105,000 might be "spoof orders," designed to manipulate the market rather than represent genuine selling intent. The true nature of this liquidity remains a key point of observation for traders.
The Impact of the Tariff Ruling
Simultaneously, the financial markets are keenly awaiting a Supreme Court decision on US international trade tariffs. Rumors suggest that a ruling against these tariffs could provide a significant boost to equities across the board. Prediction markets indicate a low probability of the tariffs remaining in place, with reports suggesting judicial skepticism regarding their legality.
While the direct correlation between the tariff ruling and Bitcoin's price is not fully established, significant shifts in the broader financial landscape, particularly in the stock market, often have ripple effects on the cryptocurrency market. Traders are therefore keeping a close eye on both the technical resistance at $105,000 and the macroeconomic developments surrounding the tariff decision.
Sources
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Bitcoin Faces $105,000 Sell Wall With US Tariff Ruling in Focus, Cointelegraph.
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