Bitcoin Faces Resistance at $108K as Analysts Warn of Potential Q3 Downturn

Bitcoin's (BTC) attempt to surpass the $108,000 resistance level has been met with rejection at the start of Q3, prompting market analysts to advise caution in the coming months. The flagship cryptocurrency concluded Q2 by retesting the $108,000 barrier, ultimately settling at $107,140 - its highest monthly close on record. However, July began with a pullback to $105,623, marking a one-week low. Analyst Rekt Capital interprets this movement as a post-breakout retest that could potentially strengthen BTC's position for another upward trajectory. The analyst emphasized the importance of maintaining a weekly close above the $104,400 support level to confirm price recovery and establish a foundation for BTC's second Discovery Uptrend. Market observers note that BTC has broken two 2-week downtrends in the past 40 days but faced rejection at a crucial 6-week downtrend near $108,000. Sjuul of AltCryptoGems warns that bulls must act swiftly to prevent significant downward movement, with critical support currently holding between $106,000-$104,000. Failure to maintain this level could trigger a retreat to macro support at $101,000-$102,000. Historical data suggests additional caution, as Q3 typically shows weaker performance for both Bitcoin and Ethereum (ETH), with reduced trading activity during summer months. Daan Crypto Trades anticipates a 'choppy start' to the quarter, recommending patience as BTC consolidates within its current range. Meanwhile, analyst Ali Martinez has identified a concerning signal from the Tom Demark Sequential indicator, which previously predicted major BTC crashes in 2015 and 2018. If historical patterns repeat, BTC could potentially decline to $40,000 this quarter. At press time, Bitcoin trades at $105,901, reflecting a 1.16% daily decrease.