Bitcoin bulls struggle to breach $110k, memecoins PUDGY, BONK, FARTCOIN lead weekly chart

With macro concerns easing, Bitcoin bulls made an attempt to breach the $110,000 mark before pulling back.

The total cryptocurrency market capitalisation, which had fallen to a weekly low of $3.36 trillion, rebounded to $3.48 trillion later in the week, driven by bullish developments out of the US.

This late-week optimism pushed market sentiment higher, with the Crypto Fear & Greed Index rising to 73, firmly within the Greed zone.

Altcoins followed a similar upswing late in the week, but much of those gains were wiped out by Friday as Bitcoin once again failed to hold above $110,000, marking its third rejection at that level this month.

Weekly momentum was largely driven by meme coins, which dominated the top 100 rankings during late Asian trading hours on July 4, capturing the spotlight with outsized gains amid broader market volatility.

Why did Bitcoin go up?

After some early‑week volatility, Bitcoin surged to a weekly high of $110,386 on Thursday, ignited primarily by the announcement of a landmark US–Vietnam trade agreement. 

Under the deal, Vietnam agreed to slash tariffs on US goods, with US tariffs dropping from previous levels of 46% to just 20%, with zero duties on imports entering Vietnam, significantly easing trade tensions and bolstering risk appetite across global markets.

This diplomatic win, combined with a cooling of US export restrictions on semiconductors to China, propelled a meaningful risk-on shift, lifting equities and derivatives markets and cascading positive sentiment into crypto.

Further, June’s non-farm payrolls data exceeded expectations with 147,000 jobs added, well above the projected 110,000, while the unemployment rate fell to 4.1%.

Bitcoin extended its rally as traders priced in stronger consumer demand and near-term resilience, with flows into spot ETFs accelerating alongside a broader surge in risk markets.

However, the fervor was short‑lived. As markets reassessed the data through the lens of Federal Reserve policy, traders scaled back expectations for a July rate cut, FedFunds futures showed a sharp rise in odds for no easing until at least September.

That recalibration triggered a swift pullback, with Bitcoin dipping just under $109,000 as liquidity quickly shifted from crypto back to safer havens.

What’s next for Bitcoin?

Bitcoin bulls were thwarted in an attempt to regain support at $110,000 on Thursday as US employment data exceeded expectations, dealing a blow to hopes of interest-rate cuts before September. 

This is the third failed attempt since the May all-time high, casting doubt on Bitcoin’s ability to breach $110,000 and enter price discovery again.

Historically, multiple rejections near all-time highs have preceded sharp drops in BTC price.

For example, Bitcoin price was rejected multiple times from the $107,000 level in January, just 2% below the previous all-time high of $109,000 reached on Jan 20. This preceded a 14% price drop over the two weeks that followed.

If history repeats, some analysts are worried the BTC/USD pair might drop 14%-18% from current price levels.

Additionally, high-taker sell volume around $110,000 and neutral funding rates in futures markets point to profit-taking and hesitation among traders, increasing the likelihood of a pullback.

Such trends are common when prices hover near all-time highs, often prompting long-term holders to realise profits and exit positions.

Looking at the 24-hour liquidation heatmap for the Bitcoin BTC/USDT trading pair, it’s clear that there’s strong resistance around the $110,000 to $112,000 mark. 

These areas have consistently rejected upward momentum, confirming that sellers are dominating at higher levels and limiting Bitcoin’s ability to enter price discovery.

On the downside, support appears to be forming near the $106,000 and $104,000 levels, with visible absorption and liquidations indicating renewed buyer interest. 

If current selling pressure intensifies, a breakdown below these thresholds could open the door for a deeper correction toward $103,000, where the next liquidation cluster lies.

For now, Bitcoin could be moving rangebound between $103,000 and $110,000, unless market sentiment tilts decisively in either direction. 

One potential trigger for short-term volatility could be selling pressure from “Satoshi era” Bitcoin holders.

Over the past week, a number of dormant whales re-emerged, most notably a coordinated move from eight wallets that had been inactive for over 14 years, collectively transferring out 80,009 BTC, worth an estimated $8.69 billion at the time of movement.