Urgent Bitcoin Price Warning: BTC Dip Predictions Target Below $90K This Week

The cryptocurrency world holds its breath as **Bitcoin price** faces crucial resistance. Traders are closely watching for potential downside targets. Fears of a significant **BTC dip**, possibly a 10% correction or worse, are mounting. This article explores five key factors influencing Bitcoin’s trajectory this week, providing essential **crypto market analysis** for investors.

Unpacking Current Bitcoin Price Worries

Bitcoin managed to avoid extreme volatility around its recent weekly close. Data from Crypto News Insights Markets Pro and TradingView confirms this stability. However, the $112,000 level remains a key target. Traders hope for a resistance-to-support flip at this point. Analyzing exchange order-book liquidity, popular trader CrypNuevo identified $106,700 as a critical level to the downside. He noted, “If the previous range lows continue to be resistance, price will attempt to hit the liquidation at $106.7k.”

Attention now focuses on how low BTC/USD could drop in a potential capitulation event. Many analysts view $100,000 as a significant line in the sand. Fibonacci retracement levels now align with a retest of this level, suggesting it as a “worst-case scenario.” Telegram analytics channel Coin Signals offered an even more concerning bottom target. They predict a 30% correction from Bitcoin’s latest all-time highs. Their X post stated, “Based on cycle’s default correction % and time taken to hit lows from a local top, BTC could see a -30% correction from local top $124k, Bottoming in the last week of SEP or first week of OCT.” Such a scenario would place the **Bitcoin price** at approximately $87,000.

The market faces significant uncertainty. Investors must prepare for various outcomes. Understanding these price targets is crucial for informed decision-making.

Federal Reserve Policy and Macroeconomic Catalysts

This week brings important US economic data prints. The Producer Price Index (PPI) and Consumer Price Index (CPI) are due on Wednesday and Thursday. Markets largely anticipate the **Federal Reserve policy** response. Inflation is on the rise, while signs of labor-market weakness are increasing. This presents a challenge for the Federal Reserve.

Data from CME Group’s FedWatch Tool shows that markets have fully priced in the odds of a Fed interest rate cut in September. There is even a small chance of a larger cut than the standard 0.25%. This comes amid growing criticism of the Fed’s approach. Other central banks have already cut rates multiple times in 2025. The European Central Bank, Bank of England, Bank of Canada, and Swiss National Bank have all moved. The Kobeissi Letter noted, “Meanwhile, the Federal Reserve remains on hold with 0 rate cuts in 2025. US monetary policy is in its own world.”

Recession fears also persist. Kobeissi reported a dip in construction spending, which is a “key recession signal.” Trading firm Mosaic Asset Company explained that the US needs to avoid recession to fuel stocks. Stocks and gold currently gain, while Bitcoin lags. “Over the long run, stock prices ultimately follow earnings which is why the economic outlook is critical,” Mosaic stressed. Therefore, the **Federal Reserve policy** and upcoming economic data significantly influence broader market sentiment, affecting crypto assets like Bitcoin.

Shifting Institutional Crypto Flows: BTC vs. ETH

Buzz around an institutional capital “rotation” from Bitcoin into Ether (ETH) appears to be cooling. Last week, inflows to BTC-denominated exchange-traded products (ETPs) ended positively. This sharply contrasted with ETH equivalents. Figures from Andre Dragosch, European head of research at Bitwise, show Bitcoin ETPs added $444 million in five days through September 5. In the same period, Ether ETPs saw net outflows of over $900 million. Dragosch commented, “Interesting to see a renewed ‘re-rotation’ from $ETH back to $BTC in terms of global ETP flows last week.”

The US spot Bitcoin exchange-traded funds (ETFs) ended the four-day trading week up around $250 million. Conversely, data from Farside Investors captured four straight days of net outflows for spot Ether ETFs. These totaled more than $750 million. This shift indicates a potential return of focus to **institutional crypto flows** into Bitcoin. Such trends highlight changing investor preferences. They also underscore Bitcoin’s enduring appeal as a primary digital asset. This re-rotation could offer some support for the **Bitcoin price** amidst broader market uncertainties.

Whale Activity Signals Potential BTC Dip

The behavior of the largest Bitcoin investors is causing concern. Onchain analytics platform CryptoQuant highlights this trend. Whales are reducing their BTC exposure. Recent market distribution rivals the last bear market in 2022. Contributor Caue Oliveira wrote in a CryptoQuant “Quicktake” post, “In the last thirty days, whale reserves have fallen by more than 100,000 BTC, signaling intense risk aversion among large investors.”

The 30-day whale balance drawdown through last week was the largest since mid-2022. At that time, BTC/USD was halfway through its most recent bear market. It bottomed out in November 2022 at $15,600. Oliveira added, “At this time, we are still seeing these reductions in the portfolios of major players, which may continue to pressure Bitcoin in the coming weeks.” Shifts in whale behavior have historically impacted short-term price action. Large chunks of liquidity move on and off exchange order books. Therefore, this significant whale selling increases the likelihood of a substantial **BTC dip**. Investors should monitor these large-scale movements closely. They often precede major market shifts.

Binance Futures and Broader Crypto Market Analysis

The Bitcoin futures market on Binance, the largest global exchange, is under scrutiny. Liquidity is tailing off across perpetual markets. New research from CryptoQuant flags a classic signal corresponding to bull market corrections. The Taker Buy/Sell Ratio, which compares buy volume to taker sell volume, is making lower lows. This occurs even as the **Bitcoin price** expands.

Contributor Mignolet summarized in another “Quicktake” post, “Bullish divergence of the Taker Buy/Sell Ratio has repeatedly occurred during the price bottom or sideways consolidation phases of this Bitcoin bull cycle, which has been ongoing since 2023.” Mignolet notes similar behavior characterized the market peak during the 2021 bull run. However, current volume differs due to institutional activity. The situation could become precarious if this trend continues. “To be blunt, all liquidity is weakening,” the post concludes. “If this liquidity recovers, the market likely isn’t over yet. However, if liquidity doesn’t recover despite numerous positive catalysts, the situation could become serious.” Binance Bitcoin futures have traded colossal volumes, surpassing $700 trillion since 2019. This massive scale means any liquidity issues significantly impact the overall **crypto market analysis** and Bitcoin’s stability.

This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.