Bitcoin Plummets 7%: Critical Support Test Looms

Bitcoin's price has plummeted by more than 7% in a single day, falling to $87,000 on February 25, its lowest level since November 2024. This sharp decline has pushed Bitcoin into a critical risk zone, sparking speculation about whether the breakdown is temporary or signals a deeper correction.

In this context, crypto analyst RLinda has highlighted key price levels that could potentially anchor Bitcoin's next major move. According to the analysis, Bitcoin is testing a key support range between $89,400 and $90,000, a crucial level that could determine its next major move. The analyst notes that on both daily and weekly timeframes, BTC remains in global consolidation, with the $90,000 to $91,000 zone acting as a strong support level.

On shorter timeframes, Bitcoin is hovering near local channel support, making this a decisive area for traders. If bulls hold the $89,400 to $90,000 zone, BTC could stage a rebound toward $94,000. However, if the level fails, a breakdown below $89,400 could accelerate selling pressure and open the door for further losses.

Recent price action shows BTC has broken below key support levels, invalidating previous bullish structures and pointing toward deeper retracements. However, the maiden cryptocurrency has since rebounded, trading at $89,040 at press time.

The analyst points to resistance levels at $94,800 and $99,200, while immediate support remains at $91,280 and $89,400. The market is now watching for confirmation of Bitcoin's next direction, with a stabilization above critical support levels seen as a key factor in regaining momentum.

Despite the market uncertainty, Founder of MN Capital Michael van de Poppe noted that the area between $83,000 and $87,000 could represent the "ultimate bottom case" before BTC begins rotating upward into a new bullish phase.

At press time, Bitcoin was trading at $89,014, marking a one-day loss of over 7% as selling pressure intensified. The decline follows persistent outflows from