$BTC Many participants in the crypto community believe that Bitcoin's weakness in early August may push the cryptocurrency's price below the psychologically important level of $100,000.

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Reasons for the decline of Bitcoin

The most capitalized cryptocurrency tested levels below $115,000 twice in the last two days. The local minimum of Bitcoin was recorded at $114,607. The cryptocurrency began to fall after updating the absolute maximum on August 14 — $124,457.

The trigger for the decline in BTC was negative economic data from the U.S., which lowered the likelihood of a key interest rate cut by the Fed in September this year.

At the time of writing this review, over 83% of market participants believe in a decline. Before the release of negative economic data, about 99% of respondents voted for such a scenario.

Bitcoin has also come under pressure due to a statement from the U.S. Treasury.

It turned out that regulators do not plan to buy BTC for a national crypto reserve.

The source of replenishment will be confiscations. Participants in the crypto community are scared by this prospect, and many have begun to call for withdrawing all funds from exchanges.

Ahead (August 21-23) is a symposium in Jackson Hole, during which the head of the Fed, Jerome Powell, will speak.

The future of the crypto market will depend on what signals the banker gives. An increase in hopes for a rate cut in September may support a market recovery. Negative signals can exert additional pressure on BTC.

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What investors expect from Bitcoin

Participants in the crypto community fear a drop in BTC below the psychologically important level of $100,000.

Such results were shown by a survey from popular crypto analyst PlanB. Over 60% of respondents from more than 25,000 participants in the voting believe that investors will see Bitcoin cheaper than $100,000.

The drop in Bitcoin below $100,000 is also expected by popular analyst Doctor Prodit.

He believes that BTC will break the psychologically important level in September. At the same time, the analyst remains optimistic about the long-term prospects of the cryptocurrency.

He believes that following the breakthrough of $100,000, a rise to new absolute highs will follow within weeks, and a prolonged increase that will be measured in months.

Crypto trader and investor 𝗰𝘆𝗰𝗹𝗼𝗽 does not rule out even a drop in BTC below $90,000. However, he expects a rebound afterwards with a new maximum.

Some participants in the crypto community suggest that Bitcoin will manage to hold the psychologically important level.

For example, trader Nebraskangooner believes that BTC could drop to the range of $102,000-$104,000. At these levels, in his opinion, there will be an opportunity to open favorable long positions.

Trader and analyst B******t also believes that Bitcoin will not drop below $100,000. In his opinion, there are no macroeconomic factors that could exert pressure of such strength.