Bitcoin Slumps 3% to $111K as Jackson Hole Bounce Unravels
Bitcoin price dropped over 3% to $110,956 as gains from Fed Chair Jerome Powell’s remarks at the Jackson Hole symposium quickly faded. The benchmark cryptocurrency Bitcoin slipped below $111K across major exchanges, with dominance falling to around 57%. According to QCP Group, a whale offloaded $2.7 billion in BTC, accelerating the downturn. Spot Bitcoin ETFs saw outflows for six straight sessions, adding pressure on bulls.
Analysts at Glassnode note that mid-size holders (10–100 BTC) are in distribution mode, raising the risk of a break below $110K. However, QCP Group maintains a bullish outlook, citing buyers’ ability to absorb selling, as in July. With BTC dominance declining, Ethereum (ETH) could benefit, particularly if ETH staking ETFs gain approval later this year.
Investors will watch the $110K support level and broader market flows. A sustained move below this threshold may trigger further losses, while a rebound could pave the way back toward the all-time high above $124K.
Bearish
Short-term, the breakdown below $111K and six consecutive sessions of spot ETF outflows signal bearish momentum. Historical patterns after Fed-related rallies—such as the post-March rate-hike drops—show similar swift reversals when whales offload large positions. The shift from accumulation to distribution among mid-size holders heightens the risk of further declines toward the $110K support. In the long term, analysts maintain a bullish outlook, noting that institutional buyers can absorb selling pressure and that a renewed rally could retest all-time highs above $124K. However, until ETF flows stabilize and whale selling slows, traders should brace for continued volatility and potential downside in the near term.