A few hours ago, Bitcoin is down 2.3% and the culprit appears to be the Philadelphia Fed Manufacturing Index. While economists forecasted a reading of -1.7, the actual figure came in at -4.0. This unexpected drop reflects a steeper contraction in manufacturing activity and triggered a risk-off move across global markets. As a result, both Bitcoin and the S&P 500 experienced sharp declines.
The crypto market didn’t escape the shock. Bitcoin led the correction, with Total3 (altcoin market cap excluding BTC and ETH) showing heavy losses as traders de-risk. Altcoins followed BTC’s lead, reinforcing the sector’s vulnerability to macroeconomic sentiment.
From a technical standpoint, $BTC is now sitting precariously above its key breakout support level near $103,700. This level marks the lower boundary of a symmetrical triangle that Bitcoin recently broke out from. BTC is currently retesting this level around $104,000.
If BTC fails to hold this critical support, it could signal further downside pressure, possibly invalidating the breakout structure. Traders and investors are now watching closely for confirmation—either a bounce that keeps the bullish pattern intact, or a breakdown that could push Bitcoin toward lower support zones.
