- Bitcoin drops below $85K as liquidations hit $400M
- Analysts warn BTC may fall to $65K amid weak demand
- US wallets move 97 BTC, fueling sell-off fears
Bitcoin (BTC) continues to face downward pressure after failing to sustain levels above $88,000. The recent drop of Bitcoin below $85,000 point generated worry among trading experts and market analysts. The combination of new trade regulations issued by U.S. President Donald Trump along with decreasing marketplace interest has caused Bitcoin to encounter significant setbacks.
Bitcoin Falls Below Key Support as Selling Pressure Increases
Bitcoin’s price has declined sharply, falling to a low of $84,200 on Friday before stabilizing around $83,494 at press time.A price fall below $85,000 support produced widespread market liquidations. Reports show that the crypto market lost more than $400 million in positions while Bitcoin long positions lost more than $116 million.
The market downturn occurred after President Trump declared a 25% automotive import tax set to start on April 3. Experts predict that the introduced tariffs may create more market instability. The trading firm QCP Capital made it clear to investors that ongoing trade retaliation among targeted economies would bring new market instability in this volatile trade environment.
Adding to the selling pressure, wallets linked to the U.S. government transferred 97 BTC and 884 ETH. This movement has fueled speculation about a possible sell-off, but reports suggest it may be related to asset consolidation under Trump’s recent executive order.
Analysts Warn of Further Decline as Bearish Patterns Form
Market intelligence firm Glassnode reports that Bitcoin demand has weakened, with realized profit and loss volumes dropping by 85% since Bitcoin’s all-time high above $109,000. Analysts suggest this indicates slowing capital inflows, making it harder for Bitcoin to recover in the short term.
Bitcoin may sink to $65,635 based on the bearish analysis of experienced trader Peter Brandt. Pointing at finished bear wedge formation Brandt stated that his target from double top phase stood at 65,635. An ongoing Bitcoin price decline will be observed for support levels at $82,000 and $76,600 by traders. The price might fall to $70,000 when support breaks below $82,000 and $76,600.
While long-term holders have begun accumulating BTC again, the short-term market outlook remains uncertain. Traders remain cautious, waiting for a strong catalyst to determine Bitcoin’s next move.
