Bitcoin Falls Below $106K as Expert Foresees Ethereum Surge

Bitcoin experienced a slight decline, reaching its lowest price in over a week on Thursday as cryptocurrency markets took a breather following a noticeable uptrend from lows recorded in April.

The leading digital currency dipped to a low of $105,750 before recovering slightly to levels above $106,000. Reflecting a 1.5% decrease in value over the previous 24 hours, Bitcoin remains just 5% shy of its all-time highs.

The CoinDesk 20 index, which tracks the top 20 cryptocurrencies by market value while excluding certain categories, dropped by 0.9% in the past day. Notable underperformers include Solana and Avalanche, which fell by 1.8% and 2%, respectively. In contrast, Ethereum’s ether and XRP managed to post gains between 1% and 2%.

Shares of companies within the cryptocurrency sector saw a lackluster performance today. Coinbase recorded a 2.7% decline, while MicroStrategy saw a modest rise of 0.8%. Several Bitcoin mining companies, including Bitfarms, Bit Digital, CleanSpark, and Greenidge Generation, reported losses of around 4%.

In traditional markets, U.S. stocks retreated from gains achieved following a court decision that had blocked tariffs instituted by the Trump administration.

Adding to market uncertainty, a U.S. appeals court reinstated these tariffs as the government pursued an appeal against the earlier ruling.

Market strategist Joel Kruger from LMAX Group anticipates that volatility may be a factor moving forward, particularly with tariffs back in the spotlight and an impending July 9 deadline for trade negotiations. Despite this, he still sees potential for further gains in digital assets.

“Bitcoin has shown resilience later in the week, consolidating below its recent peak while remaining above the $100,000 mark for 20 consecutive days, highlighting strong bullish momentum,” he commented.

Kruger also pointed out Ethereum’s ether exhibiting potential signs of ending its prolonged downtrend against Bitcoin, fueled by significant corporate investments in the asset, such as SharpLink Gaming’s $425 million fundraising initiative.

Arthur Aziz, from B2 Ventures, expressed optimism about Ethereum progressing towards a breakout, albeit while cautioning potential downside risks.

In a technical analysis, he emphasized that the $2,750 threshold has been a considerable barrier limiting upward movement recently, while the $2,550-$2,450 range has emerged as crucial support. He observed a bullish ascending triangle forming, which has historically indicated upcoming price rallies.

“The groundwork for a breakout past the $3,000 level is currently being established,” he stated. However, he warned that excessive leverage in the futures market might lead to a sudden downturn below the critical support range if significant selling occurs.