Thomas Daniels
Bitcoin (BTC) faces mounting downside risk as it trades near $109,924, with market participants warning that a failure to reclaim the $114,000 level by week’s end could trigger a deeper correction toward $103,000.
Critical Support Levels in Focus
The digital asset has now posted three consecutive weeks of losses and is trading approximately 11% below its August 14 record high of $124,500. The $114,000 level, which previously served as strong support for over six weeks, has been breached — raising concerns among traders and analysts.
Maintaining a weekly close above this key threshold is now seen as essential to reaffirm bullish momentum. Technical analysts emphasize that converting this level back into support is vital to validate the broader uptrend.
One prominent trader pointed to the market’s ongoing defense of the $109,000 zone, suggesting that significant buy pressure remains intact. Nevertheless, sentiment hinges on the asset’s ability to recover and hold $114,000 through the weekly close.
Risks of a Bearish Breakdown
Analysts warn that a failure to defend $112,000, another pivotal support level, has already validated a bear flag pattern on the four-hour chart. The pattern’s implications are bearish: a projected continuation down to the $103,700 area — representing a further 6% decline from current levels.
Technical indicators support this bearish bias. The Relative Strength Index (RSI) remains below the midpoint, indicating prevailing downward momentum. Additionally, liquidity metrics reveal significant bid clusters around the $104,000 level, suggesting price may continue to decline to absorb available liquidity.
Outlook
Market sentiment has clearly shifted. While Bitcoin bulls are attempting to stabilize price action near $109,000, the inability to reclaim and sustain levels above $114,000 may confirm a medium-term bearish trajectory. For now, the weekly close remains the decisive event — with the $114,000 mark serving as the make-or-break level for Bitcoin’s short-term market structure.
