Key highlights:
- Bitcoin trades near $111,600 while bulls struggle to surpass $114,000 resistance.
- Analyst warnings highlight the risk of a 19% correction to $102,000 support.
- Gold rises above $4,200 an ounce as Bitcoin lags despite favorable macro conditions.
Bitcoin is showing weakness amid gold’s record high. Bitcoin is trading near $111,600, down nearly 2% at the open of U.S. trading yesterday.
Bulls are struggling to break through resistance just below $114,000, according to CoinGlass data.
Bitcoin liquidity map on the Binance exchange. Source: Coinglass
Trader Roman warns of a possible return to the $102,000 level — the minimum recorded on Binance last week.
“Now it’s starting to look like a failed reversal setup,” he noted while analyzing a four-hour chart, suggesting the market could fill the wick to that level.
BTC/USD 4-hour chart. Source: Roman
Such a drop would represent a 19% decline from Bitcoin’s recent all-time high. Corrections of this size are commonplace in the current bull market, which began in early 2023.
Key support level and analyst insights
Cryptanalyst Ted Pillows considers $102,000 a critical support level:
“$BTC long-term structure is still looking good. As long as the $102,000 level holds, Bitcoin will be in a bull run.”
BTC/USD 1-Month Chart. Source: Ted Pillows
He added that a monthly candle closing below this support would serve as a warning sign for investors.
Gold breaks records while Bitcoin lags
Gold has surged past $4,200 an ounce, reaching a new all-time high. Federal Reserve Chairman Jerome Powell strengthened expectations of interest rate cuts in October, fueling gold’s rally.
Trading firm QCP Capital noted an interesting detail: the correlation between Bitcoin and gold has risen above 0.85, indicating synchronized capital flows between traditional and digital safe-haven assets.
“The setup for a renewed rally may already be forming,” QCP Capital said, though it questions Bitcoin’s long-term ability to maintain its “digital gold” status.
The paradox is clear: traditional gold is confidently rising, while Bitcoin is under selling pressure, putting the market at a critical decision point — bulls must defend key support levels or the correction could deepen.
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Source:: Traders Fear Bitcoin Could Drop to $102,000 as Gold Hits Record High