Bitcoin (BTC) plunged under the $108,000 mark, as escalating U.S.-China tensions and aggressive mining liquidations triggered uneasy sentiment across the crypto market.
Key Takeaways:
- Bitcoin breached support around $108,000 amid renewed macro pressure, marking a fresh leg lower after an earlier pull-back.
- The price drop occurred as traders digest reports of large miner liquidations and heightened geopolitical risk tied to the U.S.-China trade front.
- Technicals reflect a weakening momentum backdrop, although an up-trend remains, the risk of further downside remains elevated if support fails to hold.
Bitcoin fell below $108,000 this week, extending losses from recent sessions as traders reassessed macro risks, particularly U.S.-China trade frictions. According a The Block report, Bitcoin slipped beneath this key support as selling pressure intensified.
BTC dropped below key support near $108K as U.S.-China trade frictions continue, as of 8:15AM UTC. Source: CoinMarketCap
On-chain data revealed that over 51,000 BTC, valued at roughly $5.6 billion, had been moved from miner wallets to crypto exchanges since October 9, which further amplified downward pressure. Analysts say this reflects precautionary selling as miners secure profits amid uncertain macro conditions.
Trade Tensions and Miner Liquidations Add to Selling Pressure
Renewed strain in U.S.–China relations has rippled through risk assets, including crypto investments. Reports of additional trade barriers and tariffs between the two countries triggered broader risk aversion, pressuring equities and digital assets alike.
At the same time, miner outflows have surged, signaling growing caution among industry participants. The liquidation trend underscores how macro instability and supply shifts can rapidly impact crypto market dynamics.
Bitcoin Price Reacts, RSI Dips Toward Oversold Zone
As of this writing (8:15AM UTC), CoinMarketCap real-time data shows Bitcoin (BTC) is trading at approximately $107,960, reflecting a 2.89% drop over the past 24 hours. Before the dipping to its intraday low near $107,576, the token peaked an intraday high of around $111,555, according to CoinGecko. The 14-day RSI stood near 34.5, reflecting fading bullish momentum and edging toward oversold levels.
Technical data also shows BTC trading below its 50-day moving average, reinforcing the short-term bearish outlook. A stochastic reading near 11 % and broader crypto market correlation confirm that volatility remains high and investor sentiment cautious.
Analysts Warn of Further Downside if Support Fails
Crypto experts and market strategists warns about Bitcoin’s inability to sustain above $108K, as it could result to a deeper correction. Moreover, analysts note that Bitcoin’s historical correlation with global macro risks, particularly trade tensions, often leads to volatility spikes when uncertainty rises.
Juan Perez, a foreign exchange trader at Monex USA, previously commented that when “U.S.–China relations sour, risk assets, especially cryptocurrencies*,* tend to struggle,” emphasizing how sentiment-driven the current cycle remains.
Outlook: Volatility Likely to Persist Amid Global Headwinds
Traders and analysts are eyeing $108,000 as a crucial pivot point for the next sessions. Breaking below this threshold could lead to a $103K-$105K breach in the near term. However, any positive developments in trade talks might help the largest cryptocurrency to pullback toward $115K territory again.
Analysts expect continued volatility and caution that short-term rebounds may face resistance especially until macro conditions ease. At present, Bitcoin remains in a testing phase, caught between geopolitical uncertainty, miner-driven supply pressure, and shifting crypto investment sentiment.
Summary
BTC slipped under $108K as U.S.–China trade worries and heavy miner outflows pressured risk assets. RSI near mid-30s and a drop below the 50-DMA point to weakening momentum; traders are watching $108K as a pivot with $103K–$105K downside risk if support fails.
