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Bitcoin Updates: Wall Street Connections Heighten Crypto Risks as Bitcoin Reaches Lowest Point in Six Months

Bitcoin Updates: Wall Street Connections Heighten Crypto Risks as Bitcoin Reaches Lowest Point in Six Months

Bitget-RWA2025/11/14 23:50
By:Bitget-RWA

- Bitcoin hit a six-month low at $103,778 amid AI-driven economic fears and geopolitical tensions, driven by leveraged liquidations and risk-off sentiment. - Institutional support for Bitcoin ETFs remains strong, with $130B in assets despite $2.9B in outflows, as BlackRock's IBIT ($80.58B) attracts inflows. - Trump's $2,000 tariff proposal briefly boosted Bitcoin 2% but intensified trade tensions, highlighting crypto's sensitivity to macroeconomic policy shifts. - Technical indicators show sustained bearis

Bitcoin reached its lowest point in six months as investors adopted a risk-averse stance, spurred by concerns over AI-induced economic changes and rising geopolitical strains. Professional traders are currently maneuvering through a challenging environment shaped by institutional strategies and unpredictable macroeconomic conditions. The cryptocurrency

, deepening its retreat from an early October high of $126,000 after a 20% drop caused by forced liquidations and a move toward safer investments.
Bitcoin Updates: Wall Street Connections Heighten Crypto Risks as Bitcoin Reaches Lowest Point in Six Months image 0
Despite this downturn, ETFs continued to enjoy robust backing from institutions, as of November 7, even after experiencing $2.9 billion in outflows over six straight days. BlackRock's IBIT, the largest Bitcoin ETF with $80.58 billion in assets, kept drawing new investments, indicating that large investors are still cautiously optimistic about a possible recovery.

The recent selloff happened alongside a rally in crypto markets after President Donald Trump revealed a $2,000 tariff dividend for Americans, which

to $103,778 and lifted the total crypto market value to $3.5 trillion. Trump's tariff measures, which have heightened trade frictions with China and other countries, have become a major influence on economic sentiment, affecting both conventional and digital markets. to Wall Street have made it especially reactive to such policy changes, as institutional money moves in response to perceived global trade risks.

Technical analysis pointed to ongoing bearish momentum. Bitcoin’s recent efforts to climb back above $108,000 were blocked by resistance at short-term moving averages (30-day at $109,671 and 60-day at $112,949),

. Although the 12-month chart reflected a 120% gain for the year, the inability to break through key psychological barriers has raised debate over whether the recent withdrawals are signs of panic selling or calculated profit-taking after October’s sharp rally. Historically, similar declines have often led to renewed buying once market confidence returns, but current sentiment remains unsettled due to AI-related worries and a general move away from risk.

There is a split among professional traders. Those focused on the short term are tightening their stop-losses amid wild price swings, while long-term investors, especially those holding Bitcoin ETFs, are sticking with their positions,

. The combined effects of macroeconomic developments—such as Trump’s tariff policies and concerns about AI’s economic impact—and technical factors are likely to shape Bitcoin’s short-term direction. For now, the market remains in a wait-and-see mode, with institutional trust still present but cautious.

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Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

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