- Bitcoin briefly fell to $104,232 before rebounding to $105,522, recovering over 0.50% intraday.
- U.S. annual deficit may top $2T, with 25% of revenue spent on interest alone.
- Despite the price bounce, daily trading volume dropped over 12% to $41.44 billion, indicating reduced market activity.
Bitcoin, the world’s largest cryptocurrency, has seen a bit of a roller-coaster ride this week, slipping slightly below the $105,000 mark on June 5 before quickly rebounding. During the day, BTC dropped to an intraday low of $104,232 — a 0.71% decline from the previous day. However, it didn’t stay down for long, as the coin bounced back over 0.50%, returning to around $105.5K.
At the time of writing, Bitcoin is trading at $105,522. Despite the relatively stable price, trading activity has cooled off — daily trading volume has dipped over 12%, now standing at $41.44 billion. Meanwhile, Bitcoin’s market capitalization is holding steady at $2.08 trillion.
Looking at the bigger picture, Bitcoin has seen a modest 2.56% drop over the past week, based on data from CoinMarketCap. Analysts suggest this decline is largely due to ongoing profit booking by large holders — known as “whales” — especially with Bitcoin trading above the psychologically significant $100K mark for an extended period.
In fact, Bitcoin has managed to stay above six figures for a record-breaking 27 days during May and June 2025. This includes 25 consecutive days, surpassing the previous record of 18 days set in January 2025. While this showcases strong market support, it’s also prompting whales to offload their holdings at elevated levels.
Well-known analyst Willy Woo pointed out on June 3 that whales with more than 10,000 BTC have been steadily reducing their positions. Many of these massive holders had accumulated their coins at prices ranging from $0 to $700, holding them for anywhere between 8 to 16 years. According to data, the total Bitcoin supply held by whales has dropped from 2.77 million in 2017 to just 1.6 million in 2025 — a decline of roughly 40%.
Can BTC Reclaim the Uptrend or Is a Deeper Correction Ahead?
From a technical standpoint, Bitcoin appears to be entering a consolidation phase after retreating from recent highs of $112K. The current price range between $104,000 and $106,000 is acting as a short-term zone of indecision. The 4-hour chart shows the coin struggling to push past the Fibonacci 0.618 level at $105,880, with the Relative Strength Index (RSI) sitting at a neutral 51.39 — a sign that neither buyers nor sellers have the upper hand right now.
The Moving Average Convergence Divergence (MACD) indicator is hinting at a possible bullish crossover, though there’s no strong confirmation yet, as momentum remains weak. On the downside, technical indicators such as the Chaikin Money Flow (CMF) at -0.04 and red zones on the BBPT suggest there’s still some distribution pressure in the market.
Resistance levels remain stiff at $107,000 and $108,151, areas where price has previously been rejected multiple times. An ascending trendline that once guided BTC upward has also been broken, which adds to the cautious tone.
According to Edul Patel, CEO of Mudrex, Bitcoin needs to hold above $106,000 to keep its bullish momentum alive. If not, we may see a dip towards $103,200 before buyers show up again.
That said, the narrowing spread between Bitcoin’s price and its average levels signals a potential correction ahead — possibly in the range of 10%. A breakdown below $104,000 could drag the price further down to $102,000. On the flip side, if Bitcoin can gather enough strength to break above $107,000 with increased trading volume, a short-term rally might be on the cards.
