Bitcoin Faces $109,000 Support Test Amid Global Growth Slowdown

Bitcoin (BTC) has been on an upward trajectory for the second consecutive week, with bulls aiming to establish $109,000 as a critical support level. This move comes as the World Bank has forecasted a slowdown in global economic growth for 2025, attributing the downgrade to increased trade barriers. The World Bank's revised forecast predicts a global growth rate of 2.3% for 2025, down from the 2.8% achieved in 2024. This economic backdrop sets the stage for Bitcoin's 4-year cycle, which is expected to conclude around this time. The interplay between global liquidity, which could boost demand and ease financial conditions, and economic challenges such as trade barriers, inflation, debt distress, and policy uncertainty will shape Bitcoin's trajectory.

The 4-hour chart for Bitcoin indicates that the $109,000 support level may be under threat. The latest 4-hour candle shows a downward trend, and it remains uncertain whether bulls can sustain the price. The Stochastic RSIs in shorter-term time frames have reached their peaks and are now turning down, suggesting a potential period of downward price momentum before the bulls regain control. If the $109,000 support level fails, the price could drop to the $106,000 or even $105,000 levels, which were significant during the upward trend. The Relative Strength Index on the daily chart is angled down, and bulls must prevent it from crossing below the yellow moving average line to maintain support.

The weekly chart highlights the significance of the current levels. The $109,000 mark has reverted to resistance, as the price is currently below it. The outcome will be more definitive by the end of the week, determining whether this level acts as support or resistance. A candle closing below the $106,000 support level could indicate further downward movement before finding solid support. Fluctuations are expected throughout the week, but the critical factor will be the price at the end of the week. This will determine whether Bitcoin can continue its upward journey or if a correction is necessary to reset the Stochastic RSIs.