Bitcoin experienced a notable dip below $103,000 on May 13, 2025, following an earlier surge fueled by the recent U.S.-China tariff truce. The price drop is attributed to profit-taking actions from traders and the presence of technical resistance around the $105,000 level. Market volatility also contributed to significant liquidation events with over $700 million in crypto positions being liquidated during the decline, including more than $200 million from Bitcoin futures alone. The political landscape in Arizona played a role as Governor Katie Hobbs vetoed key crypto bills. This has impacted investor confidence and regulatory strategies related to digital assets. The economic outlook for Bitcoin remains positive but will depend on developments such as the upcoming CPI release and regulatory initiatives.