Bitcoin’s Drama: Bulls vs Bears, A Tale of Resistance and Defeat

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Oh, Bitcoin. The cryptocurrency that can’t seem to catch a break. Like a broken record, it tries, and tries, and tries to break through the resistance at $112K. And guess what? Every single time, the bulls get smacked back into oblivion. It’s like a tragic opera, and in the lead role, we have the ever-hopeful BitBull, who, in his infinite wisdom, offers this nugget of wisdom: “Until BTC reclaims $114K on the daily, every rally is just a bull trap.” Oh, BitBull, we knew you were going to say that, and yet, we still watched. The suspense was unbearable.

Bitcoin slipped again on Thursday, source: BNC

Where Support Might Hold

But wait-there’s hope! The dreamers, the optimists, the unyielding believers in the crypto fairy tale-no, they haven’t given up yet. Swissblock, a name that sounds suspiciously like a character in a dystopian novel, claims that $110K is the “critical support.” And why? Because there’s a “heavy-volume trading zone” right there. Like a fortress, it holds. But if that crumbles, the next step down is a deep dive into the dark abyss of $100K, and we’ll all be left clinging to the edge of the cliff. However, should Bitcoin manage to pull itself up by the bootstraps, there are resistance levels at $113.6K to $115.6K, followed by a terrifying wall of resistance at $118K. It’s a tricky business, this crypto game. Lots of resistance above, not much room for failure below. Pick your poison.

Macro Backdrop: Gold Shines, Fed Wobbles

Now, let’s zoom out-like way out, to the macro perspective. You see, the U.S. jobs data has pointed to a cooling labor market, which naturally fuels the hope of a rate cut by the Federal Reserve on Sept. 17. Normally, this would be the moment to cue the fireworks. But wait-what’s that? Inflation is still lurking in the shadows, and some analysts are predicting the Fed may have only one chance to make a move. So, instead of a “rate cut bonanza,” we might get a “one and done” moment, which-let’s face it-doesn’t exactly stir up the crypto pot. It’s like preparing for a feast and getting served a salad.

Meanwhile, over in the shiny rock corner, gold is having a moment. Not only is it outperforming Bitcoin, it’s also putting stocks to shame. The Kobeissi Letter, ever so eloquent, describes the situation as markets pricing in higher long-term inflation and more deficit spending. Translation? Gold is winning. And Bitcoin? Well, it’s in the background, probably scrolling through its feed.

Bottom Line

So, what’s the bottom line, my friends? Bitcoin is flirting with disaster. Support at $110K is crucial, but if that fails, we’re looking at a quick plunge to $100K. And don’t even get me started on the $114K mark-that’s the magic number for a breakout. Until then, though, Bitcoin is dancing in the shadows while gold takes center stage, basking in the spotlight. Is this the end of the Bitcoin story? We’ll see, won’t we? 🎭

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2025-09-04 23:12