Bitcoin News Today: A Bitcoin Whale's $2.7 Billion Move Sparks Volatility and Fears

Bitcoin's price experienced a notable decline in late August 2025, dropping below $110,000 after a major whale sold 24,000 BTC, equivalent to over $2.7 billion [2]. This substantial sell-off was widely reported as a significant contributor to the price correction. According to data from Bitcoin Magazine Pro, the price fell to $108,890, marking a steep decline from the $117,000 level seen just days prior [2]. The move was attributed to heightened market volatility, with the Fear and Greed Index registering a score of 48 out of 100, hovering near the fear threshold but not yet entering bearish territory [2].

The event took place against a backdrop of broader macroeconomic uncertainty. Concerns over U.S. Federal Reserve policy and the independence of the central bank influenced market sentiment. On August 22, 2025, U.S. President Donald Trump announced the firing of Federal Reserve Governor Lisa Cook, a move that intensified worries about the Fed’s stability and governance. This development led to a reevaluation of interest-rate expectations, with markets now contemplating the possibility of near-term rate cuts [3]. Despite this, the long-term trajectory of Fed policy remains uncertain, particularly as legal challenges over Cook's removal have emerged [3].

Bitcoin’s price, though volatile in the short term, has historically shown resilience. Bitcoin Magazine Pro reported that 99.1% of its days have been profitable, suggesting a long-term upward trend despite recent fluctuations [2]. Additionally, the network’s underlying strength remains robust, with the Bitcoin hash rate approaching a new all-time high of 909,080,589 Th/s, close to the peak set in mid-August [2]. This indicator reflects the continued security and activity of the Bitcoin network, reinforcing confidence among long-term holders.

Meanwhile, institutional interest in Bitcoin continues to grow. The launch of a joint venture between Trump Media & Technology Group and Crypto.com to accumulate CRO tokens marked another milestone in the integration of traditional financial structures with the crypto ecosystem [3]. The initiative, structured as a SPAC-backed firm, aims to accumulate significant holdings in CRO tokens, with initial funding including $1 billion in CRO and $200 million in cash. The move triggered a surge in CRO token prices and boosted Trump Media’s stock value [3].

Looking ahead, Diaman Partners’ analysis provides insight into potential future price movements. Using a Monte Carlo simulation, the firm estimated Bitcoin’s possible drawdowns in the next cycle, projecting a 5% probability of the price dropping below $41,000 by December 2026 [1]. If the price continues to follow the 200-week moving average as a support level, the firm estimates a possible bottom around $60,000 in late 2026 [1]. This model considers historical Bitcoin cycles and the diminishing volatility and returns typical of larger-cap assets. However, the firm cautions that the results are speculative and should not be treated as investment advice [1].

The recent price correction, driven by whale activity and macroeconomic developments, underscores the interplay between institutional movements and broader economic trends in shaping Bitcoin’s trajectory. As the market continues to evolve, the interdependencies between traditional financial indicators and crypto prices will likely remain a focal point for investors and analysts alike.

Source:

[1] Estimating Bitcoin's support levels for the next cycle bottom (https://cointelegraph.com/news/bitcoin-s-future-bear-market-bottom-could-be-dollar60k-data)

[2] Bitcoin Price Crashes Below $110000 After Whale Sold ... (https://bitcoinmagazine.com/markets/bitcoin-price-crashes-below-110000-after-whale-sold-24000-btc)

[3] Bitcoin price today: ticks higher to $111k after 7-wk low ... (https://www.investing.com/news/cryptocurrency-news/bitcoin-price-today-ticks-higher-to-111k-after-7wk-low-amid-fed-worries-4212007)