Bitcoin price fell sharply to the $102,000s range on Tuesday, extending losses from a 24-hour high of above $107,000.
Throughout the day, Bitcoin price bled down as traditional markets saw significant gains. Bitcoin initially rallied on the news of government reopening and a potential tariff check but quickly reversed as broader risk sentiment turned mixed.
At the time of writing, Bitcoin’s price is around $102,636, hovering near key psychological support at $99,000.
The Bitcoin price came amid President Donald Trump’s unveiling of a proposed $2,000 “tariff dividend” check for Americans — a populist rebate funded by record tariff revenues. Announced Sunday on Truth Social, the plan promises to return “trillions of dollars” collected from global trade duties and help pay down the nation’s $37 trillion debt.
Markets, however, saw it differently. Investors viewed the proposal as a de facto stimulus program — one that could reintroduce pandemic-style liquidity into an economy already showing signs of overheating.
Meanwhile, Washington inched closer to reopening. Senate Democrats joined Republicans in a 60–40 vote late Monday to approve a stopgap funding bill, ending a 41-day federal shutdown. The deal — expected to be signed by President Trump — restores pay to federal workers and reopens key services but has stirred debate within the Democratic caucus over the loss of health subsidy extensions.
Technical picture: Bitcoin price caught between bulls and bears
Bitcoin’s price structure remains finely poised between support and resistance. The $99,000 level, reinforced by the 55-week exponential moving average, continues to act as a crucial floor. On the upside, Fibonacci resistance stands near $109,400, with stronger selling pressure anticipated at $111,000.
A decisive breakout above $116,000 could re-ignite a rally toward $129,000, the upper boundary of Bitcoin price’s broadening wedge pattern.
Institutional buying remains resilient. Strategy, the largest corporate Bitcoin holder, disclosed a $49.9 million purchase of 487 BTC last week, bringing its holdings to more than 641,000 coins valued near $47.5 billion.
Macro optimism tied to the government reopening has supported equities, spilling modestly into crypto markets. However, analysts warn that renewed fiscal wrangling or slower ETF inflows could reignite volatility, sending the Bitcoin price back toward $96,000 or even $93,000.
Despite the near-term uncertainty, long-term indicators remain constructive. Rising production costs and a swelling base of long-term holders continue to tighten supply — a setup that has historically preceded major cyclical upturns. With just 5% of total Bitcoin supply left to mine before the 2028 halving, scarcity is once again becoming a dominant narrative.
Bitcoin price picture: From $100,000 to $1 million?
Over the past decade, Bitcoin price’s ascent from a few hundred dollars to over $100,000 has reshaped global finance, creating one of the most dramatic wealth transfers in modern history. The question now: can this exponential growth continue — perhaps even into seven figures?
While models like Stock-to-Flow have lost credibility, their central idea still holds: scarcity drives value. A more grounded approach is to track Bitcoin’s production cost — the average energy expense to mine one BTC — which has historically acted as a structural floor.
By 2028, after the next halving, Bitcoin price could reach $175,000 per BTC. If Bitcoin continues trading above its cost basis, its fair valuation could approach $200,000. By 2032, mining costs may rise to $675,000, implying a potential peak near $1 million if price-to-cost ratios follow historical patterns, according to Matt Crosby and Bitcoin Magazine Pro data.
Bitcoin’s compounded annual growth rate has slowed but remains robust. Regression-based models suggest a price between $2 million and $10 million by 2040 — though such projections are backward-looking and should be treated cautiously.
Ultimately, Bitcoin’s price will depend on macro liquidity, real yields, and adoption. As issuance declines and demand persists, production costs and capital rotation from traditional assets will likely anchor the next phase of growth.
If history rhymes, the mid-2030s could mark Bitcoin’s approach to a seven-figure era — though, as always, models guide expectations, not destiny.