Bitcoin Stumbles Under $103K Post-Moody’s US Downgrade—Is the $100K Support Line Next?

Bitcoin’s bull run hits a speed bump as prices dip below $103,000 following Moody’s credit rating downgrade of US debt. Traders now eye the psychological $100K threshold—will institutional FOMO hold or fold?

Market jitters spread faster than a DeFi exploit as traditional finance gets another black eye. ’Risk-off’ sentiment? More like ’same old Wall Street circus’—just with higher stakes and laser eyes.

The real test comes next: if BTC holds above $100K, we’re looking at a healthy correction. If not? Grab the popcorn—volatility’s back on the menu.

Bitcoin Price Chart Increased supply pressure due to broader market fears, uncertainty, and doubt has caused short-term panic. The bearish engulfing candle forms near the strong overhead supply zone around the $106,000 mark, threatening a potential bearish trend reversal. Supporting the downside risk, the MACD and signal lines have given a bearish crossover. According to the price action, the immediate support lies at $98,349 if the $100,000 psychological support level fails. However, the Fibonacci levels indicate stronger support at $91,780, at the 78.60% level. This suggests a downside risk of nearly 10%. Additionally, a crucial support level exists at $95,269, marked by the 50-day exponential moving average. The dynamic average support is known for providing strong support, helping maintain the uptrend. Conversely, a potential reversal in the short-term price trend could push Bitcoin to a new all-time high, surpassing the $109,356 level. The Fibonacci levels suggest an upside potential to reach $127,800 at the 1.272 level. Liquidations Spike as Bitcoin futures Open Interest Drops After Crossing $70 Billion Following the intraday pullback, the derivatives market saw a sharp shift in trading activity. Earlier today, Bitcoin open interest reached a new all-time high of $70.03 billion before pulling back to $67.54 billion. This suggests a significant decline in bullish sentiment due to the intraday pullback.

BTC Derivatives Data Over the past 24 hours, short liquidations in bitcoin rose to $93.81 million, while long liquidations totaled $81.97 million. The intraday pullback led to a sharp drop in bullish sentiment in the derivatives market.