#Bitcoin has approached a critical support zone in the $107,000–$106,000 range, which has previously acted as a strong reversal area on the 1-hour timeframe. The price reached this level after a series of lower highs and structural breaks, indicating sustained selling pressure.
The decline was accompanied by consecutive breakdowns of local lows, but buyers are currently defending this key demand zone. If the price manages to recover and break through the short-term resistance around $109,000, there is potential for a move toward the $110,500–$111,000 area, where significant prior consolidation occurred on May 25–26.
However, if the price fails to hold above $106,000 and breaks down on a 1-hour close, this may open the door to a deeper retracement toward $104,000 and potentially lower, signaling a shift in short-term momentum.
At this stage, the market is balanced between a potential trend reversal and continued bearish movement. Price reaction over the next several hours will be key in determining whether bulls regain control or sellers extend the downside.
