Bitcoin (BTC) price recently tested its 50-day trend average near $108,000. This key level, often a pivot point between rallies and pullbacks in past cycles, is now the focus for traders as they await a decisive outcome. The 50-day moving average has historically served as a defining indicator of Bitcoin’s broader trends, triggering major market movements. Analysts note that if this line holds, it could pave the way for renewed price surges. However, if it breaks below support, deeper retracements might occur. 24-hour and weekly declines signal some weakness in the price. The current volatility is being closely watched by traders as they try to gauge the immediate direction. BlackRock, Fidelity, and Grayscale’s recent influx of Bitcoin ETF investments have strengthened the bullish outlook. As these funds provide exposure for institutional investors and enhance liquidity, Bitcoin’s market cap remains substantial at around $2.1 trillion, further solidifying its position as a dominant asset in the crypto space. Some analysts anticipate a peak near $135,000-$140,000 by December 2025 if support holds, aligning with historical post-halving expansions. The bullish view is bolstered by factors like ETF inflows and tighter supply conditions from new share creation activity in the OTC market. However, some potential risks remain. A significant drop below the 50-day line could trigger cascading moves and accelerate liquidations. Further, the uncertainty regarding the timing of Bitcoin’s cycle peaks is a factor to consider. The overall outlook hinges on whether the price can sustain a move above the crucial 50-day level and how global economic factors like inflation expectations and risk appetite will impact Bitcoin in the coming months.