Bitcoin (BTC) Market Update: BTC Holding Bullish Price Action, Targeting All-Time Highs

Bitcoin and the entire crypto market experienced a rollercoaster of volatility yesterday, plunging on fears of a U.S. trade war before staging a rapid recovery.

Bitcoin and the broader crypto market experienced a wild rollercoaster ride yesterday, initially plunging on fears of a U.S. trade war before staging a rapid recovery. The price of the apex coin dropped over 9% in just a few hours, hitting a low of $91,530, only to bounce back by more than 12% following reports that President Trump is negotiating with Mexico and Canada to lift tariffs. This shift in sentiment quickly fueled renewed optimism across the market.

The price dropped sharply after news broke that the U.S. is considering tariffs on Canadian lumber exports, sparking fears of a wider trade war that could hurt the global economy and, by extension, risk assets like Bitcoin. However, these fears were quickly allayed by reports that the Trump administration is close to reaching an agreement with Mexico and Canada to lift tariffs on steel and aluminum, which would clear the way for the U.S. to rejoin the Trans-Pacific Partnership (TPP).

Bitcoin still looks much stronger than anything else in the market and is holding a solid uptrend when zooming out. Demand for BTC remains significantly higher than other assets, especially during times of uncertainty. This is evident in the recent market movement, where BTC recovered swiftly while most altcoins remained stagnant or continued to drop.

Bitcoin is currently trading within a defined range, with an all-time high (ATH) of $109K at the upper boundary and strong support at the $90K level. As long as BTC holds within this range, the potential for another breakout remains high. If bulls manage to push BTC above the ATH, a new bullish phase will begin, potentially leaving altcoins further behind.

Bitcoin accumulation remains strong among whales, with large holders continuing to add BTC despite market uncertainty. Unlike previous market cycles, where retail investors drove price surges, this rally appears to be fueled by institutions and long-term holders, making it more sustainable.

Bitcoin is testing crucial liquidity below the $100K mark, currently trading at $99,400 and attempting to find a strong footing before its next move. Price action remains highly unpredictable and volatile, with investors closely watching key levels for signs of a potential breakout or further downside.

For BTC to confirm short-term strength, it must reclaim the $100K mark and hold it as support. This level is a psychological and technical barrier that, once secured, could trigger renewed bullish momentum. If Bitcoin struggles to maintain this level, further consolidation below $100K could follow, delaying any breakout attempts.

The $98K level is another crucial support zone. As long as BTC stays above this mark, a push back above $100K remains highly likely. Losing this level could lead to a deeper retracement, testing lower demand zones before another attempt to reclaim higher levels.

To fully regain bullish momentum, Bitcoin must reclaim the $103,600 mark, a key resistance level that has limited upward moves in recent days. A successful breakout above this level would set the stage for a massive rally toward all-time highs, opening the door for BTC to enter price discovery once again.