BTC Sinks Below $104,000 While Retail Investor Mood Echoes Liberation Day Levels

Bitcoin (BTC) fell below the $104,000 mark on Friday, reflecting growing anxiety in crypto markets as retail sentiment sours and geopolitical tensions persist.

BTC briefly dipped under $103,400 before clawing back to around $103,700, according to CoinDesk Research’s technical analysis. The decline marked a roughly 4% drop, driven by broader market unease around global economic conditions and monetary policy uncertainty.

Investor sentiment has notably deteriorated. Analytics firm Santiment reported that bullish discussions across crypto forums have dwindled, with the ratio of positive to negative chatter dropping to 1.03 to 1—the lowest since early April. Back then, market nerves spiked following Donald Trump’s “Liberation Day” tariff announcement, which rattled both crypto and traditional assets.

Despite the negativity, Santiment analysts see a potential silver lining: such deep retail pessimism has historically signaled upcoming price rebounds. In April, Bitcoin staged a significant rally after a similar mood swing, suggesting that larger investors may be using the current fear to accumulate positions quietly.

Meanwhile, Bitcoin’s price remains locked in a trading band between $100,000 and $110,000, with the Federal Reserve’s recent decision to keep interest rates steady adding to the wait-and-see atmosphere. On-chain data shows declining open interest on Binance, hinting at ongoing deleveraging in crypto derivatives. Still, accumulation by large holders has continued steadily since 2023, suggesting that institutional confidence in BTC remains intact.

Technical Snapshot

BTC-USD traded between $106,552.98 and $102,411.01 in the past 24 hours, showing a 3.89% range as volatility spiked mid-session.
A sharp sell-off during 14:00–17:00 UTC pushed BTC under $104,000, with resistance emerging around $106,000 amid heavy volume.
Support has settled between $103,000 and $103,500, where BTC found footing as trading volumes eased into the session close.
A V-shaped rebound lifted prices from lows of $103,363 back to $103,618, reinforcing a local support level near $103,500.
Short-term indicators hint at a possible recovery, though momentum remains cautious.

While the market remains tense, historical patterns suggest Bitcoin might rebound if institutional buyers continue to quietly accumulate amid retail uncertainty.