- Bitcoin slides below trendline, sparking market fears of deeper losses.
- Traders brace as $98,000 support nears, signaling potential correction ahead.
- Spot outflows and falling futures hint at weakening buyer confidence.
Bitcoin is facing renewed downward pressure as the price trades around $102,700, hovering just above the crucial $100,000 support zone. Sellers have seized control after the leading cryptocurrency slipped below the major daily trendline that supported the entire summer rally.
According to TradingView data, Bitcoin failed to reclaim the convergence of the 20, 50, and 100-day exponential moving averages between $108,000 and $112,000, triggering a wave of selling.
This breakdown signals more than a temporary pullback. Price action has shifted structurally, with Bitcoin now trading below every key moving average. The 200-day EMA, currently near $108,200, has turned into a heavy resistance level. Unless the price closes back above it, the broader market remains in correction mode.
Bitcoin has now moved deeper into the demand region between $100,000 and $98,000. This range has previously acted as a strong foundation for rebounds throughout the year. However, losing this support area could open the door to further losses, potentially targeting the $92,000 region.
Source: Tradingview
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Spot Outflows Confirm Distribution as Futures Longs Unwind
Fresh data reveals a net outflow of approximately $57 million from spot exchanges in the past 24 hours. This pattern indicates that investors are sending their Bitcoin to exchanges for potential sale rather than holding for accumulation. The trend closely mirrors the market behavior seen before the August correction, which preceded a multi-week decline.
ETF flows have also slowed across major products, underscoring a weakening demand from institutional buyers. Without strong inflows, Bitcoin’s ability to recover above resistance levels remains limited.
At the same time, futures traders appear to be reducing their exposure. Open interest has dropped to about $68.5 billion, showing that traders are closing long positions. Around $21 million in long liquidations occurred in the past day, while short liquidations remain minimal, reflecting calm sentiment among bears.
Outlook
Bitcoin now stands at a defining moment. The break below the trendline has shifted market sentiment decisively in favor of sellers. A recovery above $108,000 would signal a potential reversal and revive hopes for a return toward $120,000. However, failure to defend $98,000 may confirm a deeper correction, exposing the next support near $92,000.
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