Technical analysis by JinDao_Tai about Symbol BTC on 6/2/2025

Currently, Bitcoin (BTC/USD) is trading around $104,800. Up slightly but still digesting a sharp reversal that rattled short-term bulls.Recent Price Action: Rejection From $112KBack on 22nd May, Bitcoin surged to a new high near $112,000, fueled by bullish momentum, institutional flows, and strong on-chain accumulation. However, that breakout was swiftly rejected, and BTC fell as low as $103,400.This kind of "bull trap" reversal highlights a few key dynamics:1) Overextended sentiment: The rally above $110K was not supported by volume or follow-through, suggesting exhaustion.2) Profit-taking by large holders or institutions likely triggered a cascade of stop-losses, accelerating the decline.3) Liquidation clusters in leveraged long positions likely exacerbated the drop.Bitcoin is now attempting to reclaim stability around the $104K–$105K range.🔍 Technical Snapshot- Support Zones at $103,000 and $93,200- Resistance Levels at $112,000 (ATH)Price is still above the 50 & 200-day SMAs, which could be a bullish longer-term signal.In addition, the price remains above the upper band of the cloud, but momentum is stalling. A decisive bounce off the cloud could reignite bullish sentiment. Or falling into the cloud could trigger more uncertainty and downside.Macro tailwinds: Concerns over U.S. fiscal stability and potential Fed rate cuts could keep Bitcoin attractive as a non-sovereign asset.📈 Projection ScenariosBullish Case:If BTC consolidates above $107K, we could see another attempt and retest of $112K.Bearish Case:Failure to hold above $103K could see Bitcoin revisit $100K, and if that breaks, downside opens toward the $93K level. 🧭 Insight & TakeawayThe current reversal serves as a healthy reminder that no trend goes up in a straight line. Especially not in crypto. It likely shook out overleveraged longs, reset sentiment, and may give the market room to breathe before the next leg up.The long-term trend remains intact, but expect more volatility before any clean break to new highs.Always DYOR and DYODD and manage your risk.