Bitcoin (BTC) price continues its downward trend, trading below $95,000** on Friday after a **9% weekly decline**. The correction follows a hawkish rate-cut decision by the **U.S. Federal Reserve (Fed)** and record outflows from **Bitcoin spot ETFs**. Technical indicators suggest further downside, with **$90,000 as the next key support level.
Institutional Demand Shows Early Weakness
- Bitcoin hit an all-time high (ATH) of $108,353 on Tuesday but dropped 8% by Thursday.
- Spot ETFs recorded a $671.9M single-day outflow on Thursday—the highest since their January launch.
- ETF inflows had previously totaled $759.4M over three days, per Coinglass data.
👉 Why ETF flows matter for Bitcoin volatility
Eric Turner (Messari CEO) notes:
"ETF inflows slowing could signal short-term weakness. This new capital source has historically dampened Bitcoin’s volatility."
Macroeconomic Pressure Intensifies Correction
- The Fed’s hawkish 2025 rate-cut slowdown triggered BTC’s decline.
- $1.68B** in crypto liquidations occurred Wednesday–Thursday, including **$371.5M in BTC (CoinGlass).
- Fed Chair Jerome Powell reiterated the Fed cannot own Bitcoin, adding bearish sentiment.
Key Takeaways:
- Macro data and ETF flows will dictate near-term BTC trends.
- Liquidation spikes often accompany price corrections.
Corporate Demand Remains Resilient
Despite the dip, institutional activity stayed strong:
| Company | BTC Purchased | Amount ($) | Avg. Price/BTC |
|---------------------|-------------------|----------------|--------------------|
| MicroStrategy (MSTR) | 15,350 | 1.5B | $100,386 |
| Riot Platforms | 667 | 67.5M | $101,135 |
| Marathon Digital | 1,627 | 166M | ~$102K |
Other Developments:
- Hut 8 acquired 990 BTC ($100M)** at **$101,710/BTC, pushing its reserves to 10,096 BTC ($1B+).
- Three whale wallets bought 1,153 BTC ($120M) post-dip (Lookonchain).
Technical Outlook: Will Bitcoin Test $90K?
- Current Price: Below $95,000 (down 7.8% from ATH).
- RSI: 45 (bearish momentum).
- MACD: Bearish crossover signals further downside.
Possible Scenarios:
- Break below $90K: Could trigger panic selling.
- Recovery above $100K:** May retest ATH at **$108,353.
FAQ
Why did Bitcoin drop this week?
The Fed’s hawkish stance and ETF outflows fueled the correction.
How significant are ETF flows for BTC?
ETF inflows/outflows reflect institutional sentiment and impact liquidity.
Is corporate demand still strong?
Yes—MicroStrategy, Riot, and others continue accumulating BTC.
What’s the next support level?
$90,000 is the critical level to watch.
👉 Bitcoin’s long-term outlook remains bullish
Disclaimer: Cryptocurrency trading involves risks. This content is for informational purposes only and not investment advice.
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