Bitcoin's meteoric rise to over $100,000 took a breather today as the cryptocurrency slipped below the psychological six-figure mark. The dip follows a wave of profit-taking from traders who benefited from last week’s rally, spurred by former U.S. President Donald Trump’s unexpected endorsement of Bitcoin-related policies in his latest public address.

After hitting an all-time high of $105,600 earlier this week, Bitcoin retreated to $98,700 during early trading hours, marking a 6.5% decline within 24 hours. While analysts note that the correction is a natural response to Bitcoin's rapid ascent, many believe the cryptocurrency remains firmly in bullish territory.

Trump's Bitcoin Boost

The recent rally was largely attributed to Trump's surprising executive proposal advocating for cryptocurrency-friendly legislation. The announcement included tax incentives for Bitcoin investors and a plan to integrate blockchain technologies into federal systems, igniting optimism among traders and institutional investors alike.

"Trump’s comments effectively turbocharged the market," said Amelia Chen, an analyst at CryptoInsights. "However, as with any rally, traders are taking some chips off the table after the initial surge."

Market Sentiment Remains Strong

Despite the pullback, market sentiment for Bitcoin remains optimistic. Institutional investors continue to hold substantial positions, citing expectations for further adoption of cryptocurrencies across the U.S. and global markets.

"Breaking $100,000 was a milestone that solidifies Bitcoin as a major asset class," noted Ray Thompson, head of trading at Blockchain Capital. "This correction is just a pit stop on the road to higher valuations."

Altcoins Feel the Heat

The broader crypto market also experienced a ripple effect. Ethereum (ETH) dropped 4% to $5,200, while Binance Coin (BNB) and Solana (SOL) posted declines of 3.8% and 5.1%, respectively. Still, the market remains up significantly since the start of the year, riding on Bitcoin's momentum.

Looking Ahead

Analysts warn that Bitcoin's next moves will depend on its ability to hold key support levels at $95,000 and $90,000. On the upside, breaking back above $100,000 could reignite bullish sentiment and attract fresh buyers.

"Volatility is the norm for Bitcoin," said Chen. "But as long as adoption and institutional support grow, dips like these are opportunities rather than threats."

As traders digest recent gains and watch for future policy developments, one thing is certain: Bitcoin's journey beyond $100,000 has only just begun.