At the time of writing, Bitcoin trades at $110,184, down 1.8% over the past 24 hours, according to CoinGecko. This is the lowest level since July 9.
The decline followed a brief rally on August 22, when Federal Reserve Chair Jerome Powell hinted at possible monetary easing in September.
“The correction was driven by profit-taking, technical resistance, and changing rate expectations,” said BTC Markets analyst Rachel Lucas.
According to her, the positive sentiment after Powell’s remarks faded as investors reassessed the probability and timing of policy easing. Uncertainty increased after reports that a large holder sold 24,000 BTC, which triggered a wave of liquidations in derivatives markets.
“Key support levels are now at $105,000, the June breakout zone, and $100,000 — both a psychological mark and a major options strike,” noted Presto Research analyst Rick Maeda.
He added that a firm break below $100,000 could force leveraged positions to unwind. Upside potential remains limited to the $118,000–120,000 range until the macro outlook becomes clearer.
Risk-Off Sentiment
Ethereum also declined 5.4% to $4,428. Other altcoins followed: XRP lost 2% ($2.92), Solana fell 7.2% ($189.12), and BNB dropped 3.1% ($846.18).
“We need to get through heavy liquidation days before the market can move higher again,” said CoinGecko cofounder Bobby Ong.
I wish I can go to sleep each night hugging my penguin and watching the charts go green only. No red candle is the best day. But that's not life and we have to go through the tough liquidation days so that we can go up pic.twitter.com/asFbRSf8jF
— Bobby Ong (@bobbyong) August 25, 2025
Euro Pacific Asset Management president and well-known Bitcoin critic Peter Schiff predicted a decline to $75,000, advising to “sell now and buy back lower.”
According to Lucas, capital previously rotating between Bitcoin and Ethereum is now moving into lower-risk assets.
Bitcoin just dropped below $109K, down 13% from its high less than two weeks ago. Given all the hype and corporate buying, this weakness should be cause for concern. At a minimum, a decline to about $75K is in play, just below $MSTR's average cost. Sell now and buy back lower.
— Peter Schiff (@PeterSchiff) August 26, 2025
Maeda pointed to CoinShares data showing $1.43 billion in outflows from crypto investment products last week. He noted that altcoins were sold faster than Bitcoin, while stablecoin inflows remained steady, signaling a broader decline in risk appetite across the sector rather than a simple capital shift.