Key Takeaways:
Bitcoin is down ~2.1% in the past 24 hours, trading around $106,958 on Binance following resistance at $108K.
Fed rate cut expectations for June 18 are off the table, undermining bullish sentiment.
If Bitcoin loses the $106K support level, it could slide toward $100K.
Bitcoin Drops Below Key Resistance on Rate Cut Doubts
Bitcoin (BTC) has fallen approximately 2.1% over the last 24 hours, now trading at around $106,958 on Binance. The decline follows a failed breakout above $108,000, compounded by Federal Reserve signaling that it will not cut rates at its June 18 meeting.
Fed Hold Odds Spike After May CPI
The June 11 CPI report revealed inflation at 2.4% YoY (core at 2.8%), cooling but still above expectations. As a result, markets now see a 99.8% chance of the Fed keeping rates steady next week . With only two potential cuts penciled in for the rest of 2025—likely starting in September—crypto momentum has taken a hit.
Investors Eye PPI Release
All eyes are now on the Producer Price Index (PPI) for June 12. Forecasts suggest a +0.2% MoM rise (core +0.3%). Any surprise could amplify price action, with historically strong reactions during this release.
Resistance Zone Remains Intact, RSI Weakens
Bitcoin continues to face stiff resistance between $108,800–112,000, unable to reclaim upside momentum. Technically, it's attempting a bull flag pattern, but the RSI has dropped to ~56, signaling weakening bullish energy.
Key Technical Levels:
Support: $106,000 – A daily close below here threatens trend damage.
Resistance: $108,800–112,000 – Critical for regaining upward momentum.
Market Outlook: Analysts Weigh In
Michael van de Poppe, founder of MN Capital, emphasized caution on X:
“Bitcoin couldn’t break through the $110,000 area… As long as Bitcoin stays above $106,000, then there's nothing to worry about.”
If support holds, BTC could rebound toward its all-time highs near $112K. But a breakdown might trigger a pullback into the bull flag channel, or even deeper toward the $100K mark.
Updated price data shows Bitcoin trading at ~$106,958 on Binance, down ~2.1% after hitting resistance and the Fed delaying rate cuts. The upcoming PPI release could be pivotal, but the immediate technical outlook hinges on whether $106K holds as support.
