Bitcoin Drops 2.09% to $107,986, Bearish Trend Fears Grow

Bitcoin's price has recently fallen below the $108,000 mark, causing concern among analysts about a potential bearish trend. According to market data, Bitcoin is currently trading at approximately $107,986, reflecting a 2.09% decrease over the past 24 hours. This decline has raised alarms, as analysts warn that a sustained drop below $108,000 could signal the beginning of a more significant downtrend, potentially pushing the price below $100,000.

The recent price action has been characterized by multiple rejections at the $110,000 level, indicating that bulls are struggling to maintain higher prices. This resistance has led to a series of corrections, with Bitcoin failing to reclaim the $108,000 resistance level despite several attempts. Market watchers are now closely monitoring the situation, as a breakdown below $108,000 could trigger further sell-offs and liquidations, potentially leading to a more pronounced bearish spiral.

Analysts have highlighted that if Bitcoin falls back toward $108,000, it could activate a bearish downtrend, pushing the price even lower. The current market sentiment is cautious, with traders and investors keeping a close eye on key support levels. The neutral funding rates suggest that traders are neither overly bullish nor bearish, but the recent price action has introduced a degree of uncertainty.

The potential for a bearish trend has been further emphasized by the risk of liquidations. If Bitcoin drops below $108,000, it could result in significant liquidations, adding downward pressure on the price. Bulls are targeting a breakout above $110,000 to confirm a bullish trend, but the recent price action has made this goal more challenging to achieve. The market is currently in a state of flux, with buyers showing signs of exhaustion after failing to cross the resistance zone between $108,000 and $108,350. The coming days will be crucial in determining whether Bitcoin can regain its footing or if the bearish trend will continue.