Bitcoin Price Plunge: Will BTC Drop Below $110K?
Bitcoin Faces Downward Pressure; Key Support Levels in Focus
Bitcoin (BTC) experienced renewed selling pressure, dropping to $111,000 on Monday and triggering significant liquidations of leveraged long positions. This 11% decline from its all-time high of $124,500 on August 14 has traders watching key support levels closely.
Critical Support Zones
- Current Price: Approximately $111,000 (as of Monday's low).
- Short-Term Bear Target: $108,000.
- Potential Deeper Correction: Some analysts predict a fall to $95,000.
The initial drop to $111,300 reversed gains made following Fed Chair Jerome Powell's recent comments, attributed to large sell orders.
Liquidation Cascade
The price movement resulted in over $642.4 million in long positions being liquidated, with Bitcoin accounting for $235.5 million of that total. Ether (ETH) liquidations followed at $155 million. Total liquidations across both short and long positions reached $806.95 million.
Analyst Perspectives
Trader Jelle noted that Bitcoin needs to hold above $111,900 to avoid a deeper correction toward $100,000. Analyst Captain Faibik pointed out that support around $111,800 is weakening, potentially leading to a drop toward the $107,000 - $108,000 range.
Optimistic Outlooks Remain
Despite the current downturn, some analysts remain bullish. Gert van Lagen maintains that Bitcoin's parabolic trajectory remains intact, targeting $350,000, while acknowledging that a break of this pattern could lead to a $95,000 retest. Michael van de Poppe suggests the dip below $112,000 presents a buying opportunity. BitQuant's cycle top target of $145,000 for 2025 is still in play.
Disclaimer: This is not investment advice. Trading and investing in cryptocurrencies involves risk. Conduct thorough research before making any decisions.