Haciyev Reşit 
Bitcoin (BTC) started the new week with a decline, dropping as low as $107,383. Etherum (ETH) also fell to $4,385. The release of the U.S. Personal Consumption Expenditures (PCE) data over the weekend, which fueled inflation concerns, triggered selling pressure in the crypto market. At the time of writing, Bitcoin is trading around $109,020.
Key Market Developments:
- Support levels: According to analysts, the critical support for Bitcoin is at $100,000, while for Ether it is at $4,000. A break below these levels could trigger a deeper decline and liquidity crunch risks.
- Weekend price action: BTC fell 0.71% to $107,866, ETH dropped 1% to $4,398, XRP declined 3.67% to $2.73, while Solana (SOL) slipped 2.71% to $198.6.
- PCE data: Core inflation rose 2.9% in July, marking the highest annual increase since February. This weakened expectations of a rate cut in September.
- Whale selling: Vincent Liu, CIO of Kronos Research, said that large BTC sales triggered liquidations of leveraged positions and negatively impacted market sentiment.
Macro Outlook: NFP and FOMC
Investors are closely watching the upcoming Non-Farm Payrolls (NFP) data. Strong job growth could dampen risk appetite and pressure the crypto market, while weaker data may boost demand.
The U.S. Federal Reserve’s FOMC meeting will be held on September 16-17. According to CME FedWatch Tool data, markets are pricing in an 87.6% probability of a 25-basis-point rate cut.
Market Expectations
Breaking critical support levels could trigger liquidity squeezes and increase short-term selling pressure. However, buyers remain active at current levels, and the market still shows recovery potential. RSI divergence and historical data analysis suggest that while September may see corrections, October could bring recovery and upward movements.