New Bitcoin Price Prediction after Dip to $112K
Bitcoin is hurting now as it reaches its lowest point in weeks due to poor retail earnings reports.
Quick overview
- Bitcoin has dropped 6.78% in value, reaching a low of $112,700, its lowest point in weeks.
- The decline is attributed to poor retail earnings reports and a negative economic outlook, impacting both the stock and crypto markets.
- Analysts predict Bitcoin may struggle to recover above the $119K support level and could take time to reach previous highs.
- The Federal Reserve is unlikely to provide a boost with no new interest rate cuts expected, contributing to Bitcoin's current challenges.
For the past week, Bitcoin (BTC) has lost 6.78% of its value and dropped to $112,700 (BTC/USD) on Wednesday. This is the coin’s lowest point in weeks.
Even though Bitcoin has fallen below $113K, it could be ready to turn around. The last time BTC was this low was in early August, and the coin shot up to an all-time high shortly afterwards. We may see a repeat of that, but investors need to know first why Bitcoin is falling right now.
Retail earnings reports have hurt the stock market and the crypto market in a big way this week. With revenue and earnings per share numbers lower than expected for major retailers, the economy does not look as good as it did last week. Even though Bitcoin recently hit a record high, it is incredibly low right now and in need of a boost.
That boost is not coming for the Federal Reserve, in all likelihood. The Fed will be holding a meeting on Thursday, and sentiment is already poor, as analysts expect that there will be no new interest rate cuts announced. Since inflation is still high and is not declining, the Fed is unlikely to issue a rate cut.
Price Prediction for Bitcoin
So, where will Bitcoin move from here? We do expect the coin to start to recover, but it could be a while before BTC’s price goes back up above the previous $119K support level. We predict that Bitcoin will not hit a record high again until possibly deep into September. The coin will struggle to make that $150K level that some analysts predicted earlier in the year as well. The contributing positive factors are simply not strong enough right now for that to look like a real possibility. Poor economic reports are going to pull Bitcoin’s value down for now.
Bitcoin is being held back by several weeks of declines as well as sticky inflation and a poor economic outlook. Amazon recently announced that they would be placing a number next to their times to show how tariffs are affecting prices, and moves like that will keep the high cost of living in the public eye. Even though tariffs have had little effect on the stock and cryptocurrency markets in July and August, they look to be coming back to the forefront of public consciousness and retailers and business owners are tired of the fluctuating tariffs and ongoing trade war.
Bitcoin will struggle to get back up to its recent high level and will likely find resistance now around $115K as it starts to trend upward.
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