Bitcoin Hits Its Lowest Level Since July

Bitcoin (BTC) dropped sharply to $108,000 on Friday following the Wall Street open, marking its lowest level in recent weeks. Heavy selling by whales and liquidations exceeding $530 million were the main factors accelerating the decline.

Selling Pressure and Liquidations

According to CoinGlass, liquidations in the crypto market reached $540 million over the past 24 hours. Heavy BTC selling, particularly on major exchanges like Binance, intensified the downward movement.

Bitcoin experienced a daily loss of around 4%, dropping to its lowest price since July.

Technical Outlook and Investor Expectations

Some analysts highlight that the price is approaching a significant reversal zone.

• Daan Crypto Trades noted that current price levels are “just above the previous consolidation range,” marking a critical area to watch in the short term.
• Crypto Caesar warned that Bitcoin’s failure to hold $112,000 as support increases risk.
• Cointelegraph analysis suggested that bulls need a weekly close above $114,000 to maintain momentum.

Technical indicators are sending mixed signals:

• Crypto analyst Javon Marks highlighted a bullish RSI divergence on the 4-hour chart, indicating a potential 15% recovery to around $123,000 if the pattern plays out.

Macroeconomic Factors: Inflation and the Fed

The decline was influenced not only by market dynamics but also macro factors:

• The PCE Index, a key U.S. inflation indicator, came in line with expectations, creating some market uncertainty.
• While Fed rate cut expectations persist, analysts like Mosaic Asset warned that employment data on September 17 could alter the probability of a rate cut.
• Historically, September has been the weakest month for Bitcoin, prompting investors to remain cautious.

Bitcoin’s price continues to face short-term pressure due to whale selling and major liquidations. However, technical indicators like RSI divergence suggest a potential recovery toward $123,000. Investors are closely watching both macroeconomic data and the Fed’s September interest rate decision.

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