Bitcoin (BTC) experienced a significant retracement, declining approximately 5% to $116,850 following its achievement of a new all-time high. Market analysts have largely attributed this pullback to investors securing profits after the currency’s latest surge.
The drop has drawn attention to a notable futures gap on the Chicago Mercantile Exchange (CME), located between $114,380 and $115,630. Historically, such gaps often act as technical magnets, prompting speculation that Bitcoin might revisit these levels before potentially resuming its ascent.
Analysts remain divided on the near-term trajectory. While some anticipate Bitcoin filling the identified CME gap prior to continuing upwards, others anticipate deeper corrections. Notably, Michael van de Poppe of MN Trading has suggested Bitcoin could test support near $108,000 if the downward pressure persists.
While the focus remains on spot price movements and futures gaps, MicroStrategy’s significant Bitcoin holdings are noted. The company continues to hold 601,550 Bitcoins, currently valued at approximately $71.6 billion, representing substantial unrealized gains despite the recent dip.