Bitcoin (BTC) is holding above $105,000 after a volatile week marked by escalating Middle East tensions and growing uncertainty around U.S. monetary policy.
Following a brief plunge to nearly $103K, the world’s top cryptocurrency rebounded as investors recalibrated their risk exposure ahead of the upcoming Federal Reserve FOMC meeting.
While bullish sentiment remains intact for the long term, BTC now trades in a tightening range as traders await the next major catalyst.
What’s Driving Bitcoin’s Recent Moves?
- Regional Tensions: Escalating Israel‑Israel strikes led to a 4% bitcoin selloff, pushing prices below $103K mid-June. As of today, the conflict remains central to price volatility.
- Fed & FOMC Watch: Ahead of the June 17–18 FOMC meeting, Bitcoin slipped below $107K; some analysts warn a dip under $105K could trigger liquidations.
- Macro Resilience: Despite headwinds, strong U.S.–China trade progress and institutional flows sustained Bitcoin near all‑time highs (~$111K).
Price Performance – Recent Highs & Lows
- Recent Range: Bitcoin dropped as low as ~$103K and rebounded toward $107K, now trading in the mid-$105K level.
- All-time High: A record of ~$111.9K reached on May 22, 2025.
- Volatility: Daily price swings exceeded 3–4% around key news events, underscoring Bitcoin’s risk-on risk-off behavior.
Key Support & Resistance Levels
- Support Zones
- $103K–$105K: Breathes support amid FOMC and geopolitical jitters.
- Resistance
- $110K–$112K: Bitcoin is struggling with overhead barriers, with resistance noted at $112K .
What Could Happen Next?
- Geopolitical Escalation
- Attack in the Strait of Hormuz could jack oil prices and trigger another crypto selloff.
- FOMC Decision & Powell Speech
- Market awaits cues: continued rate hikes could pressure Bitcoin, while dovish tones may spark.
- Institutional Flows & Retail Buzz
- ETF appetite remains strong; a pullback below $105K may attract new buyers riding the dip.
Summary Table
| Factor | Impact Level | Current Trend |
|---|---|---|
| Geopolitical Tension | High | Key driver of volatility; $103K support |
| Fed FOMC & Inflation | High | Awaiting policy clarity; pressuring prices |
| Institutional/ETF flows | Moderate–High | Still bullish, supports price base |
| Technical Resistance | Moderate | $110K–$112K ceiling holding |
Final Take
Bitcoin remains range-bound between $103K and $112K, with the next catalyst set to come from both geopolitical developments and the Federal Reserve’s policy stance. Investors should watch for:
- Conflict escalation in the Middle East raising risk aversion
- FOMC rate signals impacting global liquidity conditions
- Breakthrough above resistance may lead to a fresh rally
FAQ (Common Questions)
- Is Bitcoin a safe haven?
No. Bitcoin acts more like a risk asset—falling when tensions heighten and rebounding once markets stabilize. - Will it retest $100K?
A sharp escalation (e.g., Strait of Hormuz closure) may push it below $100K . - When could it rally toward $120K?
A dovish Fed tone alone likely isn’t enough; it’ll need both calming geopolitics and strong institutional inflows.
BITCOIN GUIDES & RESOURCES:
- Latest Bitcoin Updates and Headlines
- How Does Bitcoin Work?
- How to Buy, Trade, and Hold Bitcoin
- Track Bitcoin Volatility and Maximize Your BTC Investment
- Step-by-Step Guide: How to Buy Bitcoin in 2025
This content is brought to you by the FingerLakes1.com Team. Support our mission by visiting www.patreon.com/fl1 or learn how you send us your local content here.