The month of August has historically been a bearish one for Bitcoin, and is already off to a choppy start.
Bitcoin will likely need to hold above the $110,000 support level to get a chance at retesting its all-time high, according to an analyst, as Bitcoin fell 5% over the weekend.
Bitcoin fell from about $118,330 on Friday, dropping to $112,300 on Sunday, a bearish start to a historically bad month for Bitcoin.
“A lot will depend on how risk sentiment holds together after Friday’s dire [US] jobs report and new tariff developments,” IG markets analyst Tony Sycamore told Cointelegraph on Monday as Bitcoin reclaimed $114,800.
He said the pullback from the all-time high over the weekend tested and held the support coming from the former record high of $112,000, “which was also the logical pullback target.”
“If risk sentiment stabilizes and Bitcoin remains above the $112,000/$110,000 support, it can retest the record high. However, just above here is significant monthly resistance at $125,000, and I don’t see the catalyst for that to break right now.”
Still, if risk appetite takes another leg lower during August and Bitcoin were to see a sustained break of support, the correction could extend back toward the 200-day moving average at $99,355, he added.
