May 25, 2025

Bitcoin Drops Below $107.5K as Trump Tariff Threat Triggers Crypto Sell-Off

2 min read

Bitcoin’s recent pullback has established strong volume-based resistance near $108,300, with support forming in the $106,700-$107,000 zone. The correction accelerated with a notable price surge from $107,373 to $107,671 between 13:06-13:36, followed by a sharp reversal. Technical analysis suggests Bitcoin is now trading within a compression zone, trapped between two major fair value gaps that will determine the upcoming market direction. If bulls reclaim the $109K to $110K area, price could push toward resistance beyond $112K, while a break below $107,000 might test liquidity around $106K. Technical Analysis Breakdown The decline accelerated during the 22:00-23:00 hour on May 24th with exceptionally high volume (16,335 BTC), establishing a strong volume-based resistance near $108,300. Support has formed in the $106,700-$107,000 zone where buyers emerged during the 09:00-10:00 period on May 25th, though recovery attempts have been modest with price consolidating around $107,500. The overall technical structure suggests a short-term bearish trend with potential for further consolidation before directional clarity emerges. Bitcoin experienced significant volatility with a notable price surge from $107,373 to $107,671 between 13:06-13:36, followed by a sharp reversal that saw prices decline to $107,393 by 14:00. The most substantial price movement occurred during the 13:35 minute candle where BTC jumped nearly $150 with exceptionally high volume (148.76 BTC), establishing temporary resistance around $107,630. Support formed near $107,400 where buyers emerged during the final minutes of the period, though the overall technical structure suggests continued consolidation within the broader correction from the $109,239 high. External References ” Bitcoin Price Prediction for May 25: Will Bulls Defend $108K or Is a Deeper Drop Ahead? “, Coin Edition, published May 24, 2025. ” Why is Bitcoin Price Dropping Now? Will BTC Price Go Down to $100K? “, CoinPedia, published May 24, 2025. ” Bitcoin Price Analysis: BTC Displays Signs of Weakness Following New All-Time High “, CryptoPotato, published May 25, 2025.

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Source: CoinDesk

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