Bitcoin Price Dips Below $110K, Tests Critical Support in 2% Slide

Bitcoin slipped under $110,000 on Thursday, erasing over 2% as bulls failed to crack key resistance and U.S. jobs data offered little relief for risk assets.

Resistance Rejection, Support in Play

BTC retreated from the $112,000 zone after repeated attempts to reclaim it as support. Analysts warn that unless the $114,000 level is recovered on the daily chart, upside moves risk turning into bull traps.

“Bitcoin’s major resistance held firm,” noted one trader. “The longer it takes to reclaim $114K, the higher the probability of a deeper correction before a reversal.”

Despite the rejection, market intelligence firm Swissblock highlighted $110,000 as “critical support,” pointing to high trading volume in the zone. A sustained defense here could prevent an immediate slide to $100,000 and keep pathways open toward $113,600–$115,600, with heavier resistance waiting near $118,000.

Macro Winds and Gold’s Breakout

The macro backdrop offered little help. Fresh U.S. unemployment data reinforced expectations of a Federal Reserve rate cut on Sept. 17, but traders remain wary this could be a “one and done” move as inflationary pressures persist.

Meanwhile, gold has stolen the spotlight. The metal continues its breakout, outperforming both crypto and equities this cycle, as markets price in higher long-term inflation and growing deficit concerns.

What’s Next for Bitcoin?

With BTC hovering just above $109,500, all eyes are on whether bulls can hold the $110,000 support base. A decisive rebound could spark fresh momentum, but failure risks opening the door to a swift test of six figures.