Bitcoin News Today: Fed Hesitation and Trade Tensions Send Bitcoin Reeling: Will $110K Support Hold?

Bitcoin's price dipped below $110,000 in early November, driven by a confluence of Federal Reserve caution, leveraged trading liquidations, and geopolitical uncertainty, according to multiple reports. The cryptocurrency faced a volatile week as traders grappled with the implications of monetary policy shifts and U.S.-China trade dynamics.

The decline followed the Federal Reserve's 25-basis-point rate cut, which was accompanied by Chair Jerome Powell's hawkish remarks, tempering expectations for further easing this year. Powell's comments triggered a "sell-the-news" reaction, with Bitcoin dropping to nearly $108,000 before rebounding above $110,000. Over $817 million in leveraged futures positions were liquidated in 24 hours, with long traders accounting for the majority of losses; Hyperliquid, Bybit, and Binance reported $282 million, $223 million, and $144 million in liquidations, respectively, underscoring the market's reliance on leverage, according to Seeking Alpha.

Compounding the sell-off was a meeting between U.S. President Donald Trump and Chinese President Xi Jinping, which initially sparked fears of unresolved trade tensions. Trump's announcement of a 50% reduction in fentanyl-related tariffs on Chinese goods briefly stabilized the market, but uncertainty lingered. Meanwhile, traders accused Binance of manipulating prices through large, automated BTC dumps, though on-chain analysts noted most transactions were routine wallet reshuffling, Coinpedia reported.

Despite the turbulence, optimism emerged as U.S.-China trade negotiations hinted at a potential ceasefire. A preliminary tariff framework agreed upon by Treasury Secretary Scott Bessent and Chinese officials eased market panic, pushing Bitcoin back above $111,300, The Block reported. Trump described the talks as a "12 out of 10," though analysts cautioned that China's official confirmation of the deal remains pending.

The crypto market's macroeconomic outlook remains clouded. Bitcoin ETFs, which had seen a four-day inflow streak, reversed course with $470 million in outflows as investors booked profits ahead of Powell's post-FOMC remarks. BlackRock's IBIT, Fidelity's FBTC, and ARK's ARKB led the exodus, reflecting cautious positioning, crypto.news reported.

Technical indicators suggest a critical juncture for Bitcoin. Analysts highlighted the $111,000–$112,000 range as key support, with a break below $110,000 potentially targeting $108,000. Conversely, sustained liquidity injections and the Fed's pivot to quantitative easing could propel prices toward $150,000 by year-end, according to Panewslab.

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