Bitcoin (BTC) extended its losses for a second consecutive day, with the price down 0.52% as it struggles to stay above $105,000. The flagship cryptocurrency is currently trading at around $104,951.
BTC lost momentum after reaching an intraday high of $110,355 thanks to macroeconomic factors and escalating geopolitical tensions after Israel struck key targets in Iran.
Corporate Bitcoin Holdings Could Become A Challenge
Roxom Global CEO Borja Martel Seward has warned that when the Bitcoin bull market ends, a bearish phase could cause several Bitcoin treasury companies to struggle. Bitcoin has charted its own course despite growing macroeconomic uncertainties impacting the traditional and crypto markets. According to Seward, Bitcoin operates to its own “beating drum rhythm,” operating as an independent and contrarian asset in an economy dealing with cooling Fed rate cut expectations, quantitative tightening, US Treasury General Account replenishment, and potential Bank of Japan rate hikes.
“Bitcoin goes at its own pace, bitcoin is independent, bitcoin has its own cycles.”
Bitcoin and the wider crypto market are experiencing a bull run, which Seward believes could continue for a few months. Several other proponents of the asset, including Tim Draper, echoed the sentiment, asserting that Bitcoin could surge to new highs by the end of 2025. However, Seward cautioned against Bitcoin and crypto, stating,
“Eventually, the bull market will finish. We will enter into a more bearish phase. This euphoria, this mania will dissipate. Some companies will go underwater, and the market structure will reset.”
The warning comes amid a growing trend of public and private companies adding Bitcoin to their treasury reserves. The trend was pioneered by Michael Saylor’s Strategy, which has become the largest corporate holder of Bitcoin. According to Seward, these companies' adoption of Bitcoin presents a unique dynamic for upcoming market shifts.
“We will have to see how what today right now is a blessing regarding the bitcoin treasury companies turns out to play once the bear market hits, and we’ll see if treasury companies start selling or not.”
Top Indicators Hint At $230,000 Peak
CoinGlass has urged investors to “hold 100%” at current prices even as the asset reported record price levels and 30% gains in Q2. While Bitcoin may be consolidating after reaching record highs, a list of classic on-chain indicators is showing no signs of market exhaustion. CoinGlass’ “bull market peak” selection contains 30 potential selling triggers that aim to highlight long-term Bitcoin price tops. According to CoinGlass, none of the indicators are flashing a top signal. Popular trader Cas Abbe posted on X, stating,
“None of the 30 major top indicators on Coinglass have triggered yet. Not Pi Cycle, Not MVRV, Not even RSI. According To these models $BTC will be $135K to $230K this cycle. This ain’t the top.”
Bitcoin (BTC) Price Analysis
Bitcoin (BTC) lost momentum this week after crossing $110,000 on Monday. While it stalled after reaching this level, market watchers were hopeful of a push higher as bullish sentiment persisted. However, a dramatic escalation in Middle East tensions saw markets plunge, with BTC dropping to $105,828 on Thursday and falling to a low of $102,832 on Friday as bearish sentiment took hold.
According to analysts, BTC has encountered downside volatility after it failed to stay above the crucial $106,000 level. Analyst Michael van de Poppe flagged the $106,000 level as vital for maintaining upward momentum. According to van de Poppe, BTC’s latest rally was rejected after testing $106,000, with the price falling back between the $104,000-$105,000 region. If BTC dips below $105,000 again, it could drop to $100,000 by the end of June, mimicking a similar rejection that saw the price drop sharply to $100,000.
BTC registered a sharp drop on Monday (June 2), falling to a low of $103,768. It recovered from this level to register a marginal increase and settle at $105,092. The price lost momentum on Tuesday, falling 0.44% to $105,436. Sellers retained control on Wednesday as BTC fell almost 1%, slipping below $105,000 and settling at $104,752. Bearish sentiment intensified on Thursday as BTC fell 3%, falling to a low of $100,424 before settling at $101,614. The price recovered on Friday, rising nearly 3% to $104,378. Price action remained positive over the weekend as BTC rose 1.15% on Saturday and registered a marginal increase on Sunday to reclaim $105,000 and settle at $105,784.
Source: TradingView
BTC started the week on a bullish note, surging over 4% to cross $110,000 and settle at $110,251. The price fell to a low of $108,335 on Tuesday but recovered to register a marginal increase and settle at $110,253. Sellers took control on Wednesday as buyers lost momentum. As a result, BTC fell 1.42% and settled at $108,687. Bearish sentiment intensified on Thursday as the price plunged nearly 3% and settled at $105,828. BTC fell to an intraday low of $102,832 on Friday. However, it recovered from this level to register a marginal increase and settle at $106,106. Price action was back in the red on Saturday, with BTC down nearly 1%, trading at $105,482. The current session sees the price marginally down as buyers and sellers struggle to establish control.
Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.