Bitcoin News Today: Whale Exodus Sparks Fears of $100K Bitcoin Slide as Bearish Signs Mount

Bitcoin’s price has shown signs of consolidation around the $111,000 level amid heightened selling pressure and market uncertainty, driven by a mix of whale activity and broader macroeconomic expectations. In the past month, over 114,920 BTC—valued at $12.75 billion—was offloaded by large holders, the largest whale sell-off since July 2022. This trend has raised concerns among analysts, who warn that the ongoing bearish pressure, combined with bearish historical signals, could push Bitcoin below $100,000 in the near term.

The recent dip is occurring against a backdrop of a broader market that has seen Bitcoin correct only 13% from its mid-August all-time high. This relatively shallow correction reflects the resilience of the cryptocurrency despite increased volatility. Moreover, the one-year moving average for Bitcoin has risen from $52,000 to $94,000, reinforcing a strong long-term trend in the market. Institutional participation has also remained a key factor, with corporate treasury holdings surpassing 1 million BTC, although recent data from CryptoQuant indicates a more cautious approach to buying, with average transaction sizes shrinking significantly.

The market is also closely watching the Federal Reserve’s upcoming interest rate decision, scheduled for September 17. Traders and analysts are almost fully pricing in a 25 basis point cut, with a small possibility of a larger 50-basis-point reduction. The anticipation of a rate cut is typically seen as supportive for risk assets like Bitcoin, yet the market has already priced in much of the expected easing, limiting the immediate upward momentum. As a result, Bitcoin has been consolidating within a tight price range of $109,000 to $112,000.

In addition to macroeconomic expectations, the on-chain data continues to highlight growing caution in the market. The Taker Buy/Sell Ratio—a key indicator of market liquidity and buyer-seller balance—has shown bearish divergence, with buy volume declining while the price continues to expand. This pattern, observed during previous bull market corrections, suggests a potential shift in market sentiment. Meanwhile, the distribution of Bitcoin has seen a significant drawdown in whale balances, with the 30-day reduction in whale holdings marking the largest since mid-2022. This trend, coinciding with the peak of a prior bear market, is seen as a sign of ongoing risk aversion among major players.

Off-chain factors are also shaping market dynamics. The upcoming release of U.S. inflation data, including the Producer Price Index (PPI) and Consumer Price Index (CPI), will be critical in determining the Fed’s policy path. While inflation remains a concern, the labor market has shown signs of cooling, with the latest nonfarm payroll data coming in significantly below expectations. This has raised hopes for a more dovish Federal Reserve, yet the market remains cautious, as sticky inflation and broader economic uncertainties continue to weigh on risk appetite.

Amid these factors, institutional flows and ETF activity have played a notable role in shaping Bitcoin’s trajectory. While U.S. spot Bitcoin ETFs saw inflows of around $250 million in the four-day trading week, spot Ether ETFs recorded net outflows of over $750 million. This shift has led to speculation about a "re-rotation" of institutional capital back into Bitcoin from Ethereum, a trend that may offer some near-term support for BTC prices.

Despite the near-term bearish signals, the long-term fundamentals for Bitcoin remain robust. The cryptocurrency has shown resilience against previous macroeconomic headwinds, and the current correction is still relatively shallow compared to past cycles. Institutional adoption, macroeconomic tailwinds, and the growing integration of crypto into mainstream financial systems suggest that Bitcoin’s long-term trajectory remains upward, even as the market navigates short-term volatility.

Source: [1] Analysts Warn of $100K Dip as Bitcoin Sees Biggest Whale Sell-off in 3 Years (https://finance.yahoo.com/news/analysts-warn-100k-dip-bitcoin-082722215.html) [2] Here's 5 Things Bitcoin Traders Are Talking About This Week (https://cointelegraph.com/news/btc-dip-predictions-fall-below-90k-5-things-to-know-in-bitcoin-this-week) [3] Bitcoin stalls around $110000; Fed rate cut may not spark rally (https://www.theblock.co/post/369743/bitcoin-rate-cut-may-not-spark-rally) [4] Stock-market bulls are banking on rate cuts — CPI inflation... (https://www.marketwatch.com/story/wall-street-sees-september-rate-cut-as-sure-thing-cpi-inflation-data-may-have-a-lot-to-say-about-what-comes-next-e530b506) [5] FRED Graph (https://fred.stlouisfed.org/graph/?g=ANNk) [6] Personal income per capita/Consumer Price Index for ... - FRED (https://fred.stlouisfed.org/graph/?g=1xKh) [7] Crypto Currencies: prices, changes, trading volume & daily ... (https://finance.yahoo.com/markets/crypto/all/) [8] Global Cryptocurrency Market Cap Charts (https://www.coingecko.com/en/charts) [9] The six warning signs as crypto is welcomed into the US main... (https://observer.co.uk/news/capital/article/the-six-warning-signs-as-crypto-is-welcomed-into-the-us-mainstream)