Bitcoin Slides Past $104K Floor Amid Retail Sentiment Reverting to Liberation Day Figures

Bitcoin (BTC) slipped under the $104,000 mark Friday, reflecting unease across crypto markets amid geopolitical uncertainties and a cooling mood among retail investors.

After a roughly 4% decline, BTC briefly touched lows near $103,400 before recovering slightly to around $103,700, according to data from CoinDesk Research. Despite the pullback, Bitcoin remains stuck in a broader sideways range as markets wait for clearer signals from macroeconomic and geopolitical developments.

Investor sentiment, especially among retail traders, has notably weakened. Analytics firm Santiment reports that the ratio of bullish to bearish chatter on crypto platforms has dropped to just 1.03 to 1—its lowest since early April. At that time, Donald Trump’s announcement of “Liberation Day” tariffs sparked market turbulence and fear across both crypto and traditional assets.

However, Santiment analysts caution that such pessimism could serve as a contrarian indicator. In April, a similar drop in sentiment preceded a strong rally in Bitcoin, suggesting that institutional players might be quietly accumulating positions while retail investors turn cautious.

Meanwhile, Bitcoin continues to trade within the $100,000 to $110,000 band, with the Federal Reserve’s recent decision to leave interest rates unchanged contributing to the rangebound price action. On-chain data reveals declining open interest on Binance, indicating ongoing deleveraging in derivatives markets. Yet larger investors have consistently increased their holdings since 2023, pointing to steady institutional confidence despite recent volatility.

Technical Overview

• Over the past 24 hours, BTC-USD traded between $106,552.98 and $102,411.01, marking a 3.89% intraday swing driven by mid-session volatility.
• The sharpest drop occurred between 14:00 and 17:00 UTC, dragging prices below $104,000 and establishing resistance near $106,000 on significant volume.
• Support has formed between $103,000 and $103,500, where BTC stabilized in the final trading hours.
• A V-shaped rebound later lifted prices from lows of $103,363 back up to $103,618, reinforcing a local support zone around $103,500.
• Technical indicators remain mixed, suggesting possible upside while immediate momentum remains subdued.

While the market remains cautious, history shows that Bitcoin has often rebounded from similar sentiment-driven downturns, leaving the door open for a potential recovery if institutional buyers continue to step in.