Bitcoin Could Dip Below $108K, Targeting $93K–$95K Pullback
Bitcoin price fell below $110,000 to around $108,000 on August 29, marking a 13% retreat from the recent $124,000 high. Analysts warn that the immediate $108K support level is critical; a decisive break could trigger a mid-term pullback to $93K–$95K, with an extreme scenario potentially testing $70K. On-chain data highlight the short-term holder cost basis at roughly $108,900, suggesting prolonged selling pressure if breached. Technical indicators, including RSI divergence and cycle correlation with 2021 highs, reinforce the risk of deeper correction. Conversely, macro catalysts such as expected Federal Reserve rate cuts and easing Treasury issuance may underpin a bullish recovery later in the year. Market observers recommend closely monitoring Bitcoin price action, on-chain metrics, and policy developments to gauge the next directional move.
Bearish
Bitcoin’s breach of the $108,000 support echoes similar pullbacks during its 2021 bull cycle, where losses of up to 30% unfolded after key levels failed. On-chain analytics show short-term holders are underwater below their $108,900 cost basis, historically leading to extended sell-offs. Technical indicators like RSI divergence further signal waning momentum. These factors collectively point to a higher probability of a mid-term correction toward $93K–$95K, aligning with historical patterns. While anticipated Fed rate cuts could revive bullish sentiment later, the immediate risk profile remains bearish as traders react to support breakdowns. Therefore, the news suggests a bearish market impact in the short to mid term.