Bitcoin’s rally to a record $124,128 earlier this month has quickly unraveled, with the world’s largest cryptocurrency now trading at $113,650.
The drop marks an 8.5% pullback from its mid-August peak and has triggered a broader market correction.
Data from CoinGlass shows nearly $451 million in liquidations across crypto markets in the past 24 hours, with the single largest Bitcoin order on Binance wiping out $9.7 million.
Analysts point to $112,000 as a near-term support level, warning that a break below $110,000 could fuel panic selling and open the path toward $100,000.
The latest slide was sparked by hotter-than-expected U.S. producer price index data, which rattled hopes for Federal Reserve rate cuts.
With the Fed’s Jackson Hole summit approaching, investors are treading cautiously, expecting policy signals that could sway risk assets.
Despite the short-term pressure, some analysts remain optimistic about Bitcoin’s trajectory heading into the final stretch of the year.
CoinCodex forecasts suggest momentum could return after the correction, setting up the potential for another rally in the months ahead.
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Alex is an experienced financial journalist and cryptocurrency enthusiast. With over 8 years of experience covering the crypto, blockchain, and fintech industries, he is well-versed in the complex and ever-evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His approach allows him to break down complex ideas into accessible and in-depth content. Follow his publications to stay up to date with the most important trends and topics.
Source: https://coindoo.com/bitcoins-rally-collapses-can-it-survive-the-feds-next-move/