Bitcoin faces resistance at $110,000, may maintain consolidation in the short term

Recently, the market focus has been on U.S. economic policies and employment data. A significant tax cut bill has been passed in the House of Representatives and is expected to be signed into law soon. Although this bill may increase U.S. debt, the recent strong employment data supports it. In June, non-farm payrolls increased by 147,000, and the unemployment rate dropped to 4.1%, exceeding expectations. This data has influenced market expectations for a Federal Reserve rate cut, with the probability of a rate cut in September dropping from 98% to 80%.

However, some analysts are cautious about the economic outlook. Goldman Sachs analysts have lowered their predictions for U.S. Treasury yields and expect the Federal Reserve to cut interest rates consecutively in the third quarter of this year. Meanwhile, the U.S. government plans to implement new tariff policies on several countries, which may impact international trade.

In this macro environment, the cryptocurrency market has also seen some significant developments. The move by a well-known stablecoin issuer to apply for a banking license is viewed as an important step toward industry compliance. Analysts believe that this will help stablecoins further integrate into the existing financial system.

The price of Bitcoin briefly surged after the non-farm payroll data was released but failed to break through the $110,000 mark. Several analysts remain optimistic about the medium to long-term prospects of Bitcoin, predicting that the price could reach the $150,000 to $200,000 range by the end of the year. However, in the short term, there is significant selling pressure around $112,000. Some traders warn that if the resistance level cannot be broken, Bitcoin may retreat to the $106,000 to $107,500 range.

A well-known analyst has issued a warning, believing that recent policies may lead to a short-term contraction in dollar liquidity, and that the price of Bitcoin may drop to between $90,000 and $95,000. He expects that the market may maintain a sideways or slight downward trend before the Federal Reserve Chairman's speech at the end of August.

The altcoin market shows mixed performance, with some tokens experiencing significant increases, while most are still declining. It is noteworthy that several emerging tokens have seen remarkable gains in the past 24 hours, with some tokens increasing by more than 30000%.

Overall, the current cryptocurrency market is at a critical moment. Although the long-term outlook remains optimistic, there may be some pressure in the short term. Investors need to closely monitor changes in macroeconomic policies and their potential impact on the market.