Bitcoin is currently facing a critical moment, with its price hovering around the key support level of $105,000, having experienced a 7% pullback. The importance of this support level cannot be overlooked, as it represents a significant watershed for market confidence.

It is worth noting that the current decline is not a sudden event, but the beginning of a structural adjustment in the market. Although the geopolitical tensions between Iran and Israel have indeed intensified market volatility, they have merely accelerated an adjustment process that has already begun, rather than being the root cause.

The market signals that are truly worth being wary of include two aspects: first, there are a large number of short positions above the $110,000 price level, waiting for the right moment to counterattack; second, the bullish support in the market is gradually collapsing, and investor confidence is wavering.

If Bitcoin cannot hold the key support level of $105,000, the price may further drop to $90,000, which is not just a possibility but a potential starting point.

In this market environment, it is more important to respond rationally than to act impulsively. The market does not need blind heroism, but rather requires us to remain calm, survive, and wait for the right moment to intervene accurately. Avoid the fear of missing out (FOMO) mentality, and do not rashly place bets before the market direction becomes clear.

In light of the current situation, investors need to consider carefully: should they continue to hold, temporarily exit, or shift to a short-selling strategy? This will be a key decision that tests the market's judgment.