Bitcoin price is down 14% from its current record high, but breaking below $90,000 could put BTC price at risk of a longer consolidation period.
Bitcoin
BTC
$101,872
price has declined by more than 6% over the last 24 hours after rallying to an all-time high of over $109,000 a week ago.
Data from Cointelegraph Markets Pro andCoinbase shows that the BTC price fell from a high of $105,424 on Jan. 26, dropping as much as 7.3% to reach an intraday low of $97,750 on Jan. 27.
Bitcoin’s price drop coincides with a drawdown in the broader crypto market triggered by the release of DeepSeek R1, which has shaken the AI sector and negatively affected the prices of AI-themed tokens.
This has left market participants wondering how low BTC prices can go over the next few days.
Could Bitcoin price drop to $70,000?
After a failed attempt to hold above $100,000 on Jan. 27, the BTC has retraced toward the $98,000 demand zone.
“Bitcoin price approaches the $100,000 level and is looking weak!” said Bitcoin analyst AlphaBTC in a Jan. 27 post on X.
“$BTC and TradFi futures have been selling off all night, looking really weak as we start a fresh week.”
The accompanying chart below reveals that if bulls reclaim $100,000, the price could rebound from the current levels.
On the contrary, AlphaBTC said that the support at $100,000 was weakening, and the breakdown of this level could cause Bitcoin’s price to go below $90,000.
“The 100K level looks like it’s going to get run this time, but the question will be if #BTC can reclaim it with a strong reaction, or will we revisit sub 90K once again?”
BitMEX co-founder Arthur Hayes predicts that Bitcoin could potentially pull back toward the $70,000 to $75,000 range, a move that may trigger a “mini financial crisis.”
According to Hayes, this could lead to a “resumption of money printing” that will send BTC price to $250,000 by the end of the year.
Founder of MN Capital Michael van de Poppe asked his 767,000 X followers not to panic, arguing that the ongoing sell-off is nothing more than just a “short-term shock and panic reaction on the markets.”
According to van de Poppe, the area between $99,000 and $98,000 is an “exciting entry zone” for Bitcoin investors.
He warned that if demand-side pressure doesn’t mount up from the said level, the price could dip into the lower end of the $89,500 to $91,500 range.
50-day EMA is a test for Bitcoin
From a technical point of view, Bitcoin’s price is trading above the $97,900 support level, embraced by the 50-day exponential moving average (EMA).
Losing this support could cause the BTC price to collect demand-side liquidity down toward the 100-day EMA, currently at $91,482.