Bitcoin News Today: Bitcoin's Q4 Perfect Storm: Trade Tensions, Dollar Strength, and Shifting Macro Policies

Bitcoin's price plummeted nearly 15% in October, marking its worst quarterly start since 2022 as trade tensions, a stronger dollar, and cautious macro sentiment weighed on markets. The cryptocurrency fell below $108,000 as of early November, with analysts warning that a break below key support levels could trigger further declines in an already fragile environment, according to a crypto.news outlook. The selloff accelerated after the U.S. imposed 100% tariffs on Chinese imports and restricted software exports, sparking widespread liquidations across crypto markets. Meanwhile, the Federal Reserve's signal to slow rate cuts bolstered the dollar and shifted investor focus toward yield-bearing assets, leaving Bitcoin—unlike traditional equities—struggling to attract demand, the outlet noted.

Retail and institutional traders are now bracing for a potential retest of critical support zones. Network data suggests that $107,000 is a pivotal level, a Cointelegraph report noted, with traders like CrypNuevo on X cautioning that a breakdown could push prices toward the 50-week exponential moving average at $101,150. "We might be in a range-bound environment," CrypNuevo said, noting that liquidity clusters near $108.5K and $112K could dictate short-term volatility. Others, including Daan Crypto Trades, emphasized exchange order-book dynamics, highlighting $105K–$106K and $117K as key targets.

The market's fragility was underscored by a $1.3 billion liquidation event on October 10, when Bitcoin plunged 15% to below $103,000 in a flash crash, Yahoo Finance reported. Volume delta metrics revealed a dominant sell imbalance, with a 58.24% downside breakout probability reinforcing bearish momentum. While a rebound above $108,919 could target $114,500, the path remains fraught with macro risks.

Compounding concerns, Wintermute—a major crypto market maker—denied rumors of suing Binance over the flash crash, which had wiped out $20 billion in leveraged positions, in a Coinpedia report. Wintermute CEO Evgeny Gaevoy called the claims "complete nonsense," while Binance's former CEO Changpeng Zhao urged users to verify information during volatile periods. The episode, however, highlighted systemic vulnerabilities as the crypto market cap dipped below $3.6 trillion, reflecting tightened liquidity and growing caution.

With Q4 traditionally a bullish season for Bitcoin, the current trajectory has defied historical patterns. Institutional demand for Bitcoin hit a seven-month low in early November, contrasting with newly mined supply and raising questions about sustainability, Cointelegraph noted. As traders navigate a landscape of shifting tariffs, central bank policies, and fragile investor confidence, the cryptocurrency's ability to hold above $100,000 will likely determine whether 2025 becomes another year of correction or a catalyst for a broader rebound.