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Bitcoin Nears $106,000 Resistance Level, Whale Profit-Taking Risk Looms

Coin WorldMonday, May 12, 2025 9:22 pm ET

1min read

Bitcoin is currently approaching a critical resistance level of $106,000, according to data analysis platform Alphractal. The platform has highlighted that Bitcoin's upward momentum is slowing down, and the cryptocurrency is nearing a range where long-term holders or whales may choose to take profits. This range is referred to as the "Alpha Price" range by Alphractal CEO Joao Wedson.

From a liquidation perspective, the risk of a "long squeeze" is also increasing. If the Bitcoin price falls to $100,000, it could trigger the liquidation of large leveraged long positions. This price range may attract buying interest, leading to a retest of this key psychological level. The potential for whale profit-taking at the $106,000 resistance level could lead to an upside movement in the Bitcoin market, as the liquidation of large positions may create buying opportunities for other investors.

According to the analyst's forecast, the current situation presents a complex scenario for Bitcoin investors. On one hand, the approach to the $106,000 resistance level increases the risk of whale profit-taking, which could lead to a price correction. On the other hand, the potential for a "long squeeze" and the attraction of buying interest at the $100,000 level could create opportunities for price appreciation. Investors will need to closely monitor the market dynamics and make informed decisions based on the evolving situation.

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