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Bitcoin Price slips below $100,000 amid heavy selling and weak institutional inflows.
Long-term holders offload over 815,000 BTC, signaling market caution.
Analysts eye $94K as key support, with Bitcoin ETFs seen as a potential recovery trigger.
Bitcoin price has dipped sharply in recent sessions. BTC dropped below the important level of $100,000 and is now trading around $96,000 to $99,000. This decline has created strong concern among traders and investors who had expected the bullish trend from October to continue.
The total market capitalization of Bitcoin still stands near $1.9 trillion, which shows that it continues to dominate the crypto market. However, the momentum has shifted to the negative side. In October 2025, Bitcoin had reached a record high of nearly $126,272, but since then, the price has fallen significantly. The sudden and steep correction has made many wonder what is causing this slide and whether it could continue in the coming weeks.
The drop in Bitcoin's price is not due to a single factor: it is an outcome of the interaction of global economic conditions, technical market pressures, and investors' behavior.
The main reason is the deteriorating state of global liquidity. Most central banks, including the US Federal Reserve, have turned cautious with regard to rate cuts. This has resulted in making investors wary of high-risk assets such as cryptocurrencies. Besides, weaker economic data from China, such as low industrial production and slower investment growth, has created a wave of selling across risky markets. These global concerns have directly affected Bitcoin and other digital assets.
Another reason is the slowdown in institutional investments. In the past months, large investors and funds took profits by reducing their Bitcoin positions. As such, this has capped the amount of fresh capital that could enter the crypto market. Meanwhile, long-term holders who usually hold their Bitcoin for more than six months have started to sell. Reports say over 815,000 BTC have been sold in the past, the highest amount since January 2024. When long-term holders start selling, it is a signal of weakening confidence.
The technical structure of the market also played a big role. Once the $100,000 support level broke, a wave of forced selling swept the futures market. An estimated $880 million worth of long positions, or bets that prices would rise, were liquidated as stop-loss levels were hit. This forced many traders who had bet on higher prices to sell, adding to downward pressure.
The psychological factor also cannot be left out. For Bitcoin, the $100,000 mark had become a symbol of strength; after this level was broken, panic quickly spread and pushed the price even lower. For now, attention is focused on the next key support area around $94,000, from which many expect such a bottom might be reached if buyers return.
Also Read: How is Bitcoin Different from Traditional Money and Banks?
Bitcoin is facing resistance at $104,000-$106,000. The price recently tried to recover toward this range but could not hold for long. This zone has now become an important ceiling that needs to be crossed for the next upward move.
On the downside, $94,000 is considered the most important support. According to JPMorgan and some market analysts, it looks like the downside risk near that level is limited for now. But a breach of this level will open up the next supports around $90,000 and $87,000.
The 50-day moving average is currently around $101,800 for Bitcoin, while the RSI is near 30, which generally indicates that the market has gone into oversold conditions, implying that in a very short period, prices have fallen sharply and a local bounce is possible. Nevertheless, traders are still cautious since not every oversold scenario results in an instant rebound.
Bitcoin must rally above $106,000 on strong volume to regain bullish momentum. If not, the risk of further decline will remain in the picture.
Market sentiment has clearly turned cautious. Many big investors remain on the sidelines, waiting for clear guidance on the economic outlook and regulatory policies in the future. The enthusiasm that accompanied Bitcoin's rally earlier this year has cooled off.
Institutional inflows into Bitcoin exchange-traded funds have sharply dropped, indicating a large investors' reluctance to add fresh positions. Bitcoin mining companies and other crypto-related stocks have also fallen alongside the broader market, showing weak appetite for risk assets in general.
Analysts at JPMorgan have retained their upside target of around $170,000 for Bitcoin, assuming the wider economic cycle will become favorable again. They believe the current correction could be temporary if strong support holds near $94,000. The focus remains on stabilization rather than an immediate recovery for now.
It could regain strength if the global financial condition improves and central banks start to loosen policies. A return of institutional inflows into Bitcoin ETFs could provide fresh momentum and push the price back through $106,000, potentially setting the stage for another attempt at the $120,000–$126,000 range.
This is more likely to happen in the short run. Sideways consolidation between $94,000 and $105,000. Within this range, the market may try to find a balance as investors wait for new data and clearer signals from the macro environment. Some minor recoveries toward $100,000 or even $104,000 are possible, but such rallies will meet strong resistance.
The scenario could turn more bearish if global conditions deteriorate or if Bitcoin fails to keep above $94,000. It might drop as low as $90,000, or even $87,000. That would most likely lead to another round of liquidations and could shake investor confidence even more.
The overall direction will depend very strongly on global monetary policy, economic data releases, and the pace of institutional participation in the crypto space.
The current correction has served as a reminder of Bitcoin's volatility. Now, traders and investors are focusing more on the protection of capital and calculated risk management. Those who entered near the top are experiencing large unrealized losses, while others are waiting for a clear signal of stability before entry.
The long-term holders selling their coins and weak institutional flows indicate that, for now, the supply-demand balance is not favorable for a quick recovery. The investors should remain tuned for major support levels and observe how the market will behave around $94,000.
Patience might be the primary virtue for those considering long-term positions; one could look for confirmation of a trend reversal or at least the price climbing above $106,000 for better risk-reward opportunities than buying in times of uncertainty. On-chain activity, futures market data, and global liquidity trends will be monitored to determine where the next big move may originate.
Also Read: What is Bitcoin and Why Was it Created?
Bitcoin’s sharp fall below $100,000 highlights how sensitive the crypto market remains to global economic and liquidity conditions. The combination of lower institutional demand, selling from long-term holders, and technical breakdowns has led to strong downward momentum.
The key level to watch now is $94,000. If this support holds, Bitcoin might stabilize and build a base for future recovery. If it fails, further decline toward $90,000 or even $87,000 could follow.
For now, the market seems to be in a phase of adjustment and caution. Without a clear catalyst such as renewed institutional interest, favorable regulation, or easier monetary policy, Bitcoin is likely to trade sideways or face more downward pressure. The coming weeks will be critical in deciding whether this correction becomes a short pause or the start of a deeper bearish phase for the world’s largest cryptocurrency.
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