Bitcoin Dips Below $110K as Market Volatility Rises and Bearish Pressure Builds

Bitcoin has once again turned bearish after briefly reclaiming the $110,000 mark earlier this week, erasing short-lived gains and shaking investor confidence. The world’s leading cryptocurrency has slipped by around 1.8% in the past 24 hours, pulling back toward the $108,000 range. The correction comes amid growing selling pressure and weakening momentum, with the 200-day moving average acting as fragile support near $107,000.

The recent decline appears to be driven by a mix of profit-taking among short-term traders and fading institutional inflows. Data from major exchanges show an uptick in sell orders, while derivatives markets reveal a rise in short positions—signs that bearish sentiment is regaining strength. Traders who capitalized on Bitcoin’s brief recovery have contributed to the current wave of downside volatility.

Technically, Bitcoin’s immediate support lies near $106,000, a level that coincides with the local low recorded earlier this month. A break below this threshold could open the door to a deeper decline toward $102,000, where historical buying interest has previously stabilized prices. On the upside, Bitcoin faces heavy resistance between $112,000 and $114,000, a range reinforced by the 50-day and 100-day moving averages that have consistently capped bullish advances since early October.

Market indicators such as the Relative Strength Index (RSI) remain neutral, hovering between 40 and 45, suggesting that Bitcoin may continue to consolidate in the short term before choosing a decisive direction. As traders monitor key technical levels and sentiment shifts, Bitcoin’s next move could determine whether the broader crypto market regains confidence or faces another round of correction.