Bitcoin News Today: Bitcoin Drops 6% in 14 Days Amid Rate Cut Uncertainty and Profit-Taking

Bitcoin experienced a brief rebound following U.S. Federal Reserve Chair Jerome Powell's speech at Jackson Hole, where he expressed a relatively muted but positive outlook, boosting risk appetite. The cryptocurrency surged from around $111,700 to a peak of $117,300. However, the momentum was short-lived, with Bitcoin retreating below $110,000 by the weekend, marking a significant pullback after touching a recent high of $124,000 [1]. The decline continued, bringing Bitcoin to its lowest level in seven weeks [1].

Analysts attribute the correction to multiple factors. BTC Markets crypto analyst Rachael Lucas noted that profit-taking, technical resistance, and shifting interest rate expectations contributed to the sell-off [1]. Lucas explained that the initial positive sentiment from Powell's remarks faded quickly as investors reassessed the timing and likelihood of a September rate cut. The uncertainty was further exacerbated by U.S. President Donald Trump’s announcement that he had fired Fed Chair Lisa Cook, raising concerns about the central bank’s political independence [1].

The downward pressure intensified when a large investor sold 24,000 BTC, triggering a wave of liquidations. According to Coinglass data, total market liquidations in the last 24 hours reached $941.65 million, with $320 million in Bitcoin alone. Ethereum (ETH) and Solana (SOL) also experienced sharp declines, with ETH dropping 6% to $4,430 and SOL falling 8% to $188 [1].

Presto Research analyst Rick Maeda highlighted the key levels to watch for Bitcoin, noting that even if a rebound occurs, it will likely remain limited. He identified 105,000 as a critical June breakout zone and 100,000 as both a psychological line and a significant options level. A break below 100,000 could trigger forced deleveraging, while the upside potential remains capped around $118,000 to $120,000 until macroeconomic conditions become clearer [1].

Doctor Profit, a noted market expert, provided further insight into the broader market dynamics. He warned that the anticipated September rate cut could lead to a significant correction in both equity and crypto markets. The first major rate cut, he explained, typically introduces volatility and uncertainty, creating divergent investor opinions and sharp price swings [2]. From a technical perspective, Bitcoin faces a critical CME gap at $93,000 and a liquidity zone between $90,000 and $95,000. Charts show a double-top formation and declining volume, both of which indicate bearish sentiment [2].

Doctor Profit also analyzed investor behavior, noting that retail investors often buy at higher levels after institutional investors have already taken advantage of lower prices during earlier dips. As Bitcoin approaches the $90,000–$95,000 range, a potential shakeout could occur, leading to further declines [2]. Despite recent optimism, the expert warned that increased enthusiasm could signal larger players offloading positions, leaving retail investors vulnerable [2].

Looking ahead, Doctor Profit forecast a potential rebound in Bitcoin prices toward $145,000 to $150,000 following the September correction, a 34% increase from current levels. He also expects Ethereum to reach between $7,000 and $8,000 after the correction [2]. As of the latest data, Bitcoin is trading at $112,560, a 6% drop over the past fourteen days, while Ethereum has held up relatively well, posting a 5% gain over the same period [2].

Sources:

[1] Bitcoin Sistemi - [https://en.bitcoinsistemi.com/powell-speaks-positive-but-bitcoin-still-falls-analysts-list-reasons-for-the-decline-and-explain-their-expectations-even-if-bitcoin-rises/](https://en.bitcoinsistemi.com/powell-speaks-positive-but-bitcoin-still-falls-analysts-list-reasons-for-the-decline-and-explain-their-expectations-even-if-bitcoin-rises/)

[2] NewsBTC - [https://www.newsbtc.com/2025/08/26/whats-next-for-bitcoin-key-developments-after-falling-to-112000/](https://www.newsbtc.com/2025/08/26/whats-next-for-bitcoin-key-developments-after-falling-to-112000/)