Bitcoin’s price remains bullish above $106,000 despite short-term pullbacks, showing resilience near key support amid geopolitical tension.
Rising global liquidity continues to fuel Bitcoin’s macro uptrend, with a 1% liquidity rise historically driving over 20% price gains.
Technical indicators signal mixed momentum as Bitcoin consolidates within a volatile $94K–$112K range, with buyers defending key zones.
Bitcoin faced a technical pullback after hitting $110,545, failing to hold above key resistance. Michaël van de Poppe highlights in his X analysis the market's inability to break through the $110,000 zone. This led to a correction as geopolitical tensions between the US and Iran intensified. Gold prices surged amid uncertainty, supporting risk-off sentiment. Despite the short-term drop, Bitcoin is bullish above the $106,000 level. The current support zone between $106,329 and $106,666 shows active demand, hinting at potential recovery if held.
Source: Michaël van de Poppe
The four-hour timeframe indicates a failed breakout above $108,924. After taking liquidity, Bitcoin reversed and confirmed a local resistance. This is the beginning of a short-term downtrend. Price dipped into the grey demand zone, reacting quickly with a bullish wick. Volume surged during the decline on June 6, sparking a small rally. Currently, lower volume suggests accumulation is underway. If Bitcoin loses $106,329, price could drop toward the key liquidity block between $104,500 and $105,500.
Liquidity Trends Fuel Bitcoin’s Macro Rally
Meanwhile, analyst Jamie Coutts connects Bitcoin’s performance to global liquidity flows. Since April 10, Bitcoin has surged 40%, tracking a breakout in the Global Liquidity Index (GLI). The GLI rose by 2% after hitting all-time highs. Historically, a 1% liquidity increase correlates with a 20% move in Bitcoin suggesting ongoing capital inflows into the crypto market.
Source: Jamie Coutts
Coutts highlights correlation between Bitcoin and liquidity trends. From 2020 to 2021, synchronized rallies confirmed global monetary expansion. However, the 2022 pullback followed a drop in global liquidity. Bitcoin mirrored this shift, falling below $20,000. The current rally, fueled by rising liquidity and a weakening dollar, shows bullish continuity.
Momentum Indicators Show Mixed Signals
As per TradingView data, technicals are mixed as Bitcoin trades near $107,000. The Ichimoku Cloud indicates uncertainty, with price hovering near key cloud boundaries. The Stochastic RSI is at 0.17, indicating oversold short-term conditions. Despite recent volatility, Bitcoin holds above the psychological $100,000 level. This strengthens its longer-term bullish structure.
Source: TradingView
Moreover, price action shows resilience within the $94,000 to $112,000 range. Breakouts have repeatedly been followed by swift corrections. However, each dip has triggered renewed buying interest. If Bitcoin clears $108,924, momentum could shift strongly toward new all-time highs.
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