A trader warns that Bitcoin must hold above $108,000 or risk a bearish spiral . According to crypto analyst Daan Crypto Trades, a drop back to $108,000 could trigger a bearish downtrend, potentially pushing the price below $100,000 and possibly down as far as $96,000 .
As of July 4, 2025, Bitcoin is trading at $109,250, approximately 2.5% below its all-time high of $111,970 . Analyst Miles Deutscher remains confident in a Bitcoin uptrend . Crypto trader CryptoFayz suggests that if Bitcoin breaks its current all-time high, it could continue its uptrend to $116,000 .
However, there are also warnings. Some analysts have flagged bearish divergences on multiple time frames, signaling potential weakness in bullish momentum and raising the risk of a near-term pullback . These divergences suggest that price rallies above $110,000 could be a trap . Furthermore, traders remain bearish, with an increase in short positions, which could lead to a short squeeze if Bitcoin breaks its all-time high .
On the other hand, Bitcoin is gaining ground as it surges toward its all-time high of $111K, fueled by renewed buying interest and strong technical momentum . A successful breakout above this psychological and technical barrier could ignite a fresh impulsive leg upward, with the $120K mark as the next major target .
Overall, the short-term direction of Bitcoin remains uncertain, with conflicting signals from various analysts and technical indicators. While a drop below $108,000 could lead to a bearish spiral, a successful breakout above the all-time high could lead to new highs. Traders should closely monitor price levels and technical indicators to make informed decisions.