• Bitcoin dropped 14% from $115,000, with a potential downside of $76,000.
• Galaxy Digital lowers Bitcoin year-end target from $185,000 to $120,000 amid caution.
• BTC market cap $2.03 trillion, dominance 59.18%, 24-hour volume $54.95 billion; quantum and gold debates continue.

Bitcoin (BTC) faces renewed bearish pressure after a sharp 14% decline from its $115,000 retest, forming a lower-high, lower-low structure. Trading near $105,000–$108,000, the cryptocurrency risks a further drop toward $76,000 if support breaks. Analysts urge caution, highlighting continued selling dominance and defensive trading strategies.

Breakdown Below $94,000 Could Extend Losses

Crypto Patel highlighted that currently, BTC trades near a crucial relief zone between $105,000 and $108,000, where short setups are developing. A breakdown below the $94,000 support zone could extend losses toward $76,000, marking the next significant downside target for traders closely monitoring these technical levels.

Momentum remains firmly in favor of sellers, with no visible bullish divergence emerging so far. Analysts suggest that Bitcoin needs to close above $111,500 to reverse its bearish tone, while a breakout beyond $116,500 could trigger a super-bullish move toward the $150,000 mark in the near term.

Bitcoin Maintains Dominance Despite Decline

According to Galaxy Digital’s head of research, Alex Thorn, investor attention has shifted away from Bitcoin toward emerging sectors. “Attention will come back to Bitcoin—it always does,” Thorn told CNBC, adding that BTC was the hottest trade earlier this year following Donald Trump’s presidential win.

Thorn explained that investors are now exploring gains in areas such as artificial intelligence, nuclear energy, quantum technology, and gold. “Other opportunities distracted allocations that might have gone into Bitcoin,” he stated.

Despite the current downturn, Thorn remains optimistic about Bitcoin’s outlook, mentioning that the current transition was just a transition of the mature distribution between older users and new users. However, Galaxy Digital has adjusted its end-of-year BTC goal of 185000 to 120000, indicating short-term hesitation.

BTC is currently trading at $101,996, and has a 24-hour trading volume of 54.95 billion, a market cap of 2.03 trillion. The asset has a market dominance of 59.18% with a price decrease of 0.20% the previous day, resulting in uncertainty in the market.

Also Read | Bitcoin (BTC) Faces Complex Correction As Market Eyes $90K–$110K Range

Quantum Computing and Gold Spark Industry Debate

JPMorgan analysts noted that rising gold volatility makes BTC appear relatively cheaper. The volatility of Bitcoin-to-gold is currently at 1.8, suggesting BTC carries only slightly higher risk, increasing its appeal among institutional investors seeking speculative hedges.

Borderless Capital’s Amit Mehra believes that quantum threats are years to come, whereas Capriole’s Charles Edwards believes that the industry needs to move quickly, stating that action is necessary to ensure BTC’s future against a possible computational breakthrough.

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