The Bitcoin price crash is in focus following the flagship crypto’s recent drop to as low as $103,700. Crypto analyst Captain Faibik has commented on why $107,500 and $103,500 are the most important levels to watch as BTC looks to decide its next move. 

Why $107,500 & $103,500 Are Key For The Bitcoin Price

In an X post, Captain Faibik explained that $107,500 and $103,500 are key as the bulls and bears battle to dictate the next move for the Bitcoin price. The analyst noted that later this week, BTC bulls will attempt to reclaim the $107,500 resistance and regain momentum. 

Related Reading

He predicted that a clean break and hold above $107,500 could trigger a bullish leg toward the $117,000 level, which would mark a new all-time high (ATH) for the flagship crypto. Meanwhile, on the other hand, $103,500 is an important support level which the bulls must defend as the Bitcoin price eyes new highs. Captain Faibik warned that a breakdown below could shift momentum back in favor of the bears. 

The Bitcoin price had surged above $106,000 on May 2 following news about the US decision to extend its pause of tariffs on some Chinese goods to August. This provided a bullish outlook for the flagship crypto after Donald Trump stated last week that China had violated the trade deal with the US. 

Trump and China’s president are set to have a call later this week, which could further boost the Bitcoin price if both sides could resolve any dispute regarding the current trade deal. Meanwhile, Fed Chair Jerome Powell failed to discuss the economy during his speech at the International Finance Division Anniversary Conference, which also continues to fuel market uncertainty. 

First Step For BTC Is To Get Back Above $106,500

In an X post, crypto analyst Kevin Capital indicated that the first step is for the Bitcoin price to successfully reclaim $106,500. He noted that BTC had recorded a weekly close below this level, which puts the flagship crypto back in the danger zone. The analyst further remarked that BTC needs to get back above this level in the coming days or things can get “sketchy looking.” Kevin Capital added that this has been a key level for months, and nothing has changed.  

Related Reading

Meanwhile, crypto analyst Titan of Crypto revealed that a Katana is forming on the weekly chart for the Bitcoin price. He explained that in Ichimoku analysis, a Katana forms when Tenkan and Kijun overlap. This signals low momentum and market equilibrium. He added that this development also precedes strong directional moves, with an expansion or pullback on the horizon. 

At the time of writing, the Bitcoin price is trading at around $105,435, up in the last 24 hours, according to data from CoinMarketCap.

Featured image from Getty Images, chart from Tradingview.com

US Treasury Secretary Scott Bessent has signalled that the long-debated overhaul of banks’ supplementary leverage ratio (SLR) is imminent—a policy pivot that could reverberate through Bitcoin markets—telling television interviewers that regulators are “very close to moving” on the rule and that the adjustment could compress Treasury yields by “tens of basis points.”

Rocket Fuel For Bitcoin

Although the proposal must still clear the Federal Reserve, the Office of the Comptroller of the Currency and the FDIC, the direction of travel is clear: exempting, or partially exempting, US Treasuries from the SLR will let large banks recycle balance-sheet capacity into fresh purchases of government debt.

The SLR, introduced after the 2008–2009 crisis, forces even risk-free assets such as Treasuries to carry a capital charge; a global systemically important bank must fund five cents of equity for every dollar of total assets, including central-bank reserves. Bessent’s plan would lift that burden for sovereign bonds, a step the industry has lobbied for since the temporary pandemic waiver expired in March 2021. Kevin Fromer, chief executive of the Financial Services Forum, calls the current leverage-based stack “outdated and at odds with financial stability and economic growth,” describing relief as necessary “to better serve US taxpayers, capital markets, consumers, businesses, and the economy.”

Related Reading

While officials frame the move as a micro-prudential calibration, the macro-liquidity impulse is substantial. Market commentator Furkan Yildirim tells his 103,000 subscribers that US banks collectively hold about $5 trillion in Treasuries; eliminating the five-percent capital haircut would liberate roughly $250 billion of tier-one capital—fifty times the Federal Reserve’s current monthly quantitative-tightening pace of $5 billion. “This is a liquidity injection by regulatory pen stroke,” he says, adding that the step “lowers yields without the Fed printing money,” a mix that historically pushes investors further out the risk curve.

The market is already trading on that expectation. Benchmark ten-year yields slid below 3.95 percent after Bessent’s remarks and after President Trump deferred a threatened 50 percent tariff on EU goods until 9 July. Yildirim argues that “every basis-point drop in the ten-year is basically a marketing campaign for Bitcoin,” because “liquidity doesn’t disappear—it just looks for a new home.” He stresses that the Treasury’s willingness to change bank-capital rules, rather than rely on the central bank, “tells you how cornered policymakers feel by deficits, debt service and political optics.”

Related Reading

Not everyone is convinced the rule change will work as intended. Critics such as Peter Boockvar of Bleakley Advisory note that banks’ appetite for duration risk has not fully recovered since the 2023 regional-bank failures; if dealers fail to absorb the incremental Treasury supply, the Federal Reserve could be forced back into the market. The Bank Policy Institute, while welcoming SLR relief, argues that it must be paired with a broader rethink of post-crisis overlays such as the GSIB surcharge and the stress-test regime to unlock balance-sheet capacity on a lasting basis.

Bitcoin, however, responds reflexively to dollar-liquidity metrics. Lower Treasury yields diminish the allure of money-market funds paying north of five percent, releasing capital that has been parked in cash-equivalent vehicles since 2022. On-chain data highlighted by Yildirim show over-the-counter (OTC) desk inventories sliding to 115,000 BTC, evidence that large buyers are sourcing coins directly; when that stock is depleted, desks must restock from public exchanges, a dynamic that tightens float and historically amplifies upside moves.

Ultimately the SLR reprieve is no panacea for America’s fiscal arithmetic, but it removes a near-term balance-sheet choke point and lowers the opportunity cost of holding non-yielding assets. As Yildirim puts it, “A deregulation that stabilises sovereign funding while nudging investors into risk assets is, almost by definition, a tailwind for Bitcoin.” In that sense the rule change functions like shadow quantitative easing, arriving at a moment when the Federal Reserve is hamstrung by sticky inflation and political constraints—one more structural catalyst for Bitcoin.

At press time, BTC traded at $108,790.

Featured image created with DALL.E, chart from TradingView.com

Bitcoin finally broke through its all-time highs this week, reaching $112,000 and holding firm above the key psychological level of $100,000. After weeks of steady momentum and bullish consolidation, the breakout marks a major shift in market structure, confirming that bulls are now in full control. The move has reignited optimism across the market, with sentiment turning decisively positive as BTC enters price discovery once again.

Related Reading

The breakout wasn’t just technical—it was backed by strong positioning across derivatives markets. According to data from Coinglass, Bitcoin’s weekly liquidation heatmap reveals a dense cluster of liquidity around the $105,700 level. This area could act as a magnet in the short term, with some traders expecting a brief sweep into that zone before BTC resumes its upward trajectory.

This environment now favors bulls, with both technical levels and on-chain data aligning to support further upside. As long as Bitcoin continues to close above $100K and dips remain shallow, the path of least resistance appears to be higher. With liquidity, momentum, and macro sentiment aligning, the coming weeks could be critical as BTC sets the tone for the rest of the market—and potentially the start of a full-blown bullish phase.

Bitcoin Remains Strong Amid Tight Conditions

Bitcoin posted another bullish week, reaching a new all-time high of $112,000 before pulling back slightly to hold above the key $100,000 level. Despite the strength, market sentiment has yet to flip fully euphoric. A cautiously bullish tone dominates as macroeconomic conditions remain tight, with high US Treasury yields and growing instability in global trade continuing to weigh on risk assets.

Unlike many altcoins, which are still trading well below their previous cycle highs, Bitcoin appears to be thriving in this high-stress environment. Its resilience is being closely watched, as capital continues to favor BTC over smaller, more volatile assets. This relative strength reinforces Bitcoin’s status as a macro hedge, especially in uncertain economic conditions.

Top analyst Ted Pillows added to the discussion by highlighting data from Coinglass, which shows significant liquidity sitting around the $105,700 level on the BTC weekly liquidation heatmap. According to Pillows, this cluster could serve as a short-term magnet, suggesting that a quick sweep of that zone may occur before Bitcoin resumes its upward move.

“Liquidity at $105K is thick. A dip into that area could clear out late longs before the next leg higher,” he noted.

With Bitcoin holding key levels and sentiment remaining grounded, the setup is favorable for continuation, but not without potential volatility. If BTC can defend the $100K–$105K range and reclaim $110K, the next push toward new highs may arrive sooner than expected. For now, bulls remain in control, but traders are staying alert as global markets remain on edge.

Related Reading

BTC Holds Above Key Averages

Bitcoin is trading at $108,249 on the 4-hour chart after a strong push to $112,000 earlier in the week. The chart shows BTC currently consolidating above a confluence of key moving averages, including the 34 EMA ($108,046), 50 SMA ($106,840), and 100 SMA ($105,109), all of which are trending upward. These levels now serve as dynamic support zones, keeping the short-term structure bullish as long as price remains above them.

Despite the rejection near $112K, BTC has avoided any aggressive selloff and continues to respect the mid-range levels of its recent breakout. The $103,600 level, marked in yellow, is a key horizontal support and previously acted as a resistance ceiling. It now provides a strong base if any deeper correction occurs.

Volume has declined during this pullback phase, indicating that the selling pressure is likely corrective rather than the start of a trend reversal. If bulls can maintain control above $106K and reclaim momentum above $110K, a retest of the recent highs is likely.

Related Reading

For now, the 4-hour trend remains intact. All eyes are on whether Bitcoin can hold above the clustered support and continue building a base for the next leg higher.

Featured image from Dall-E, chart from TradingView