Bitcoin Faces Pressure as Price Falls Below $110K
Bitcoin’s price dipped below $110,000 on October 17, hitting $108,420.This marks a 2.4% drop in the past 24 hours. The cryptocurrency has lost 10% in a week and 7% in a month,now 14% below its all-time high of $126,080.
Trading activity increased during this decline. Bitcoin’s 24-hour trading volume rose by 25% to $83.1 billion. This shows more movement as traders adjust around key support zones.
derivatives data also reflects growing caution. bitcoin futures trading volume increased by 40% to $127.6 billion, while open interest remained nearly unchanged at $72.8 billion. Traders are active but cautious, adjusting positions instead of taking strong new bets.
Spot Bitcoin ETFs saw $536.4 million in outflows on October 16, their second day of withdrawals. ARK Invest’s ARKB led with $275 million in redemptions, followed by Fidelity’s FBTC with $132 million. These outflows suggest some institutions are reducing exposure or locking in profits.
Bitcoin’s short-term technical setup is fragile. the relative strength index at 37 suggests neutral-to-weak momentum. Every major moving average, from the 200-day SMA ($107,535) to the 10-day EMA ($112,885), shows sell signals, indicating a persistent bearish bias.
Bitcoin is hugging the lower Bollinger Bands, and volatility is rising. The $108,000-$109,000 range is crucial. if support holds, Bitcoin may rise toward the $113,000-$115,000 zone. If it breaks below, a move toward $104,000 is absolutely possible.
Some analysts, like Arthur Hayes, think a move close to $100,000 is feasible. Others believe the price will stabilize soon,citing steady demand from long-term holders and ETFs.
