Bitcoin Price: Urgent Warning as BTC Faces Crucial $113K Test Amid Fed Rate Cut Hints
The Bitcoin price currently hovers at a critical juncture. It struggles to reclaim the $113,000 level as support. This comes amidst fresh hints from the Federal Reserve about potential interest rate adjustments. Cryptocurrency traders now reveal new bottom targets for BTC. The market wobbles, and a recent dovish speech from a Fed official offered little relief for bulls.
Bitcoin Price Faces Critical Resistance
Bitcoin (BTC) recently attempted to flip $113,000 into a stable support level. However, traders are preparing for potential BTC price weakness as Q4 approaches. Data from Crypto News Insights Markets Pro and TradingView confirms this. BTC/USD hovers near its daily open. The pair showed only a modest rebound from its recent slump. This brought it to its lowest levels in nearly two weeks. Currently, $111,600 acts as a fragile support.
Market participants closely watch this latest price action. They focus on likely bounce levels if a fresh dip occurs. Michaël van de Poppe, a crypto trader, analyst, and entrepreneur, shared his insights on X. “I’m interested to see whether $BTC will hold these crucial levels for support. If that’s the case, then $115K upwards would be the next clear resistance point.”
He added a stark warning: “If not? Probably another cascade to $106-108K –> max buy zone.”
BTC/USD one-hour chart. Source: Crypto News Insights/TradingView
Traders Eye New BTC Price Targets
Popular trader BitBull also anticipates a downturn. He highlights the 100-day exponential moving average (EMA) as a key indicator. “$BTC bounced back from its daily EMA-100 level. But you could see further dump too,” he told his X followers. He observed that losing this level previously resulted in capitulation. BitBull believes whales might try to push BTC below this level. This could create “max pain” as Q4 begins.
BTC/USDT four-hour chart with RSI data. Source: Michaël van de Poppe/X
These BTC price targets reflect a cautious sentiment. Many analysts believe further downside is possible before a significant recovery. The market watches these critical support and resistance levels closely. A breach of current support could trigger cascading sell-offs.
BTC/USDT one-day chart with 100EMA. Source: BitBull/X
Fed Rate Cuts and Broader Market Impact
New hints of interest-rate adjustments from the US Federal Reserve did not improve market sentiment. Vice Chair for Supervision Michelle Bowman recently delivered a speech. She warned that the Fed risked being “behind the curve” on cuts. This could significantly influence the crypto market analysis.
Bowman stated, “In my view, the recent data, including the estimated payroll employment benchmark revisions, show that we are at serious risk of already being behind the curve in addressing deteriorating labor market conditions.” She spoke at the 2025 Kentucky Bankers Association Annual Convention. Bowman emphasized that if these conditions persist, policy adjustments might need a faster pace and larger degree. These potential Fed rate cuts are a double-edged sword. They could signal economic weakness, even if they aim to stimulate growth.
Earlier, Crypto News Insights reported on analysis from former BitMEX CEO Arthur Hayes. He argued that US President Donald Trump would use senior Fed officials to influence policy. Trump has vocally demanded rate cuts throughout 2025. He even threatened to fire Fed Chair Jerome Powell over the issue. Powell himself was due to speak at the Greater Providence Chamber of Commerce 2025 Economic Outlook Luncheon later.
Nasdaq Correlation and Crypto Market Analysis
Crypto investor and entrepreneur Ted Pillows observed the relationship between Bitcoin and the Nasdaq 100 index. He specifically highlighted the relative strength index (RSI). “$NASDAQ daily RSI has reached 78, its highest level since July 2024,” he noted. This high RSI reading raises concerns for many investors.
Pillows recalled a previous instance: “Last time Nasdaq daily RSI was this high, a 17% dump happened in 2-3 weeks.” He further cautioned that crypto is highly correlated to Nasdaq. Therefore, a similar dump could affect BTC and altcoins. A 17% copycat retracement from current Bitcoin prices would place BTC/USD at approximately $94,000. This potential dip would represent a significant correction for the market. Investors must consider this strong Nasdaq correlation when making decisions.
Nasdaq 100 one-day chart with RSI data. Source: Ted Pillows/X
Navigating Bitcoin Price Uncertainty
The confluence of these factors creates significant Bitcoin price uncertainty. Traders face potential further dips, with key support levels under intense scrutiny. The broader macroeconomic landscape, influenced by potential Fed rate cuts, adds another layer of complexity. Furthermore, the strong Nasdaq correlation means traditional market movements can directly impact crypto assets. Investors should remain vigilant. They must conduct thorough research before making any trading decisions. Monitoring these indicators and official statements will be crucial for navigating the market in the coming weeks.
This article does not contain investment advice or recommendations. Every investment and trading move involves risk. Readers should conduct their own research when making a decision.
