Bitcoin (BTC) has seen a sharp decline, dropping 11% to $97,300, slipping below the crucial $100,000 mark and causing liquidations worth over $2 billion across the crypto market.
Despite Bitcoin’s dip, TRUMP coin surged 10% in the past 24 hours, pushing its market capitalization closer to $4 billion. However, it has now lost its third-place ranking among meme coins to PEPE.
Market Trends & Technical Analysis
Bitcoin’s Decline & Institutional Moves:
- BTC’s fall from its all-time high of $109,026 is linked to institutional sell-offs and technical correction signals.
- Data from XBTManager suggests that 49,700 BTC moved from 6-12 month-old wallets, a pattern that often precedes market turbulence.
TRUMP Coin’s Recovery & RSI Indicator:
- TRUMP’s Relative Strength Index (RSI) jumped from 19.8 (oversold) to 48.5, indicating renewed buying interest.
- If the RSI surpasses 50, it could signal stronger bullish momentum for the asset.
Key Market Insights & Future Outlook
Support Levels: Analysts predict BTC could test support at $94,101 – $92,600 before stabilizing. A return to $99,500 is also expected.
Whale Accumulation: On-chain data shows whales have bought over 30,000 BTC during this dip, potentially providing support.
U.S. Bitcoin Strategic Reserve: Market speculation around a potential U.S. Bitcoin reserve has affected sentiment, with prediction odds dropping to 47% for its deployment in 2025.
Long-Term Perspective: Despite short-term corrections, Bitcoin’s 11% drop is within historical norms for bull market consolidations. A dip to $90,000 could provide strong technical and psychological support.
What’s Next for Bitcoin?
While market sentiment has turned negative for the first time since November 2024, contrarian investors may see this as a buying opportunity. Institutional flows and whale activity will be crucial in determining Bitcoin’s next move.
