Bitcoin Traders Eye $100K Dip as Weekly Close Looms After 11% Monthly Gain

Bitcoin traders are bracing for potential price dips below $100,000 as the cryptocurrency market approaches a critical weekly close, following an 11% gain in May 2025.

Despite Bitcoin reaching all-time highs of $105,330 in late May, recent price action has sparked caution among traders, with technical indicators like the relative strength index (RSI) pointing to a possible bearish divergence.

As BTC/USD hovers around $104,400, market participants are closely monitoring support levels and liquidity zones that could dictate the next move for the world’s leading cryptocurrency.

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RSI Divergence Signals Caution

Bitcoin’s price action has been under scrutiny after a 50% rally since early 2025, with the cryptocurrency testing key support levels from its December 2024 peak of $104,450. The weekly close on June 2, 2025, is considered a pivotal moment for determining short-term price direction.

A bearish divergence in the weekly RSI, a momentum indicator that measures trend strength, has emerged, suggesting that Bitcoin’s upward momentum may be waning.

Traders have identified $97,000 and $90,000 as potential downside targets, based on Fibonacci retracement levels and fair value gaps (FVGs), which highlight imbalances between buyers and sellers.

These levels align with liquidity data showing significant order book activity around the psychologically critical $100,000 mark, which could act as a price magnet in the event of further declines.

Did You Know?
Bitcoin’s daily trading volume on global exchanges reached $12.4 billion on June 1, 2025, surpassing the average daily volume of many traditional equity markets.

Market Structure Remains Bullish

Despite the recent 8% drop from last week’s highs, analysts remain optimistic about Bitcoin’s long-term trajectory. The May monthly candle closed with an 11% gain, reinforcing the bullish market structure.

Real-time data from major exchanges indicates that Bitcoin’s daily trading volume reached $12.4 billion on June 1, 2025, reflecting sustained market interest. Liquidity analysis suggests that a temporary dip below $100,000 could serve to shake out weaker hands while preserving the overall uptrend.

Some traders argue that a cooldown after the rapid ascent would be healthy, allowing the market to consolidate before targeting new highs. The $100,000 level, in particular, is considered a strong psychological and technical support zone due to stacked liquidity.