Bitcoin’s price has been doing a rollercoaster lately, mainly because of the tense situation in the Middle East.
Middle East Tensions and Bitcoin’s Dip
After a nearly 5% drop due to the rising geopolitical tensions, Bitcoin bounced back above $105,000, trading around $106,800. While it briefly touched $108,000, a crypto analyst predicts a potential crash is looming.
Analyst Prediction: A Crash Towards $100,000?
According to analyst Pejman_Zwin, Bitcoin is stuck in a resistance zone between $105,330 and $107,120. This area is packed with short positions, meaning a price break could trigger intense volatility. The charts also suggest a bearish pattern, hinting at a possible correction.
If Bitcoin can’t break above $106,600, the analyst believes it could trigger a five-wave downward move, leading to a deeper price drop. The longer it stays in this resistance range, the more likely a sudden fall becomes.
Potential Price Targets: Bearish and Bullish Scenarios
A breakdown could send Bitcoin to a support zone between $105,330 and $103,162. Further drops could take it down to $102,600 or even $101,000 if selling pressure continues.
However, a sustained break above $107,120 could reverse the trend, pushing Bitcoin towards $108,000. A strong close above this level would invalidate the bearish prediction. But failing to break through could mean another price drop.
The Verdict: A Delicate Balance
While Bitcoin shows some bullish signs, it’s still vulnerable to a quick drop, especially with the ongoing Middle East conflict. Currently trading around $106,638, its price action reflects a period of consolidation, making its future direction uncertain.
