Bitcoin's recent price movement reflects strength, rising 3.5% to nearly $108,500, but macroeconomic fears may prevent gains beyond $110,000. The correlation with stock markets remains high, currently at 82%, limiting Bitcoin's short-term prospects amidst ongoing concerns about the U.S. economy and a potential recession. Traders are cautious, as indicated by Bitcoin's derivatives metrics and the 5% baseline in 2-month futures, suggesting no overwhelming confidence despite Bitcoin being just 3% shy of its all-time high. Investor sentiment remains cautious due to past economic tensions. While Bitcoin was designed for uncertain financial climates, its near-term success will still be influenced by broader economic conditions and the U.S. dollar's status as the global reserve currency. Without significant shifts in investor confidence towards U.S. fiscal policy, Bitcoin may struggle to rise above the critical $110,000 threshold.

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