Bitcoin (BTC) is showing signs of midterm weakness, raising concerns about a potential price drop to $92,000. The leading cryptocurrency has repeatedly tested the critical psychological support level around $100,000, only to falter each time.
Several factors contribute to the bearish outlook for Bitcoin. The failure of the anticipated “Uptober” rally, coupled with ongoing liquidity challenges in the crypto market, has led to a significant shift in sentiment. October marked the first time in six years that Bitcoin recorded a decline, dropping approximately 20% from its recent all-time high (ATH) of $126,000 early in the month. The BTC/USD pair has struggled to maintain its footing, recently falling to $99,000 on two occasions this week.
Additionally, the re-emergence of long-dormant Bitcoin whales has increased fear among traders about further price corrections. On-chain analytics from CryptoQuant reveal that significant movements of Bitcoin by influential holders, including MicroStrategy led by Michael Saylor, have coincided with a heightened state of fear in the market. Currently, the Fear & Greed index from CoinMarketCap indicates a level of 21 out of 100, reflecting extreme fear among investors.
Technical indicators further suggest a possible decline. Bitcoin has fallen below its 50-weekly Simple Moving Average and breached two crucial support levels at approximately $107,000 and $103,700. The expectation is that Bitcoin may gravitate toward its bull market support level around $92,000, where an unfilled CME gap also exists.
Despite the prevailing bearish sentiment, some analysts maintain that Bitcoin could reclaim a bullish stance before the year concludes. Notably, JPMorgan strategist Nikolaos Panigirtzoglou recently suggested that Bitcoin remains undervalued relative to gold and could surge to $170,000 to align with its historical performance. This macro bullish outlook is further supported by the anticipated resumption of the Federal Reserve”s Quantitative Easing (QE) measures set to commence on December 1, 2025.
