Bitcoin Retreats Toward $90K as Crypto Markets Unwind Early-Week Gains
Bitcoin (BTC) fell toward $90,000 on Thursday, giving back much of Tuesday’s rebound despite the Federal Reserve’s widely expected rate cut and restart of Treasury purchases. Earlier in the week, BTC briefly spiked above $94,500, triggering a minor short squeeze, but failed to break the resistance that has capped the token for most of the past three weeks.
The broader crypto market followed suit, with over $514 million in leveraged positions liquidated across derivatives venues in the past 24 hours. BTC traded around $90,250, down 2.4%. Ether (ETH) dropped 3.4% to $3,208, Solana (SOL) fell 5.8% to $133.84, and Dogecoin (DOGE) slipped 5.5% to $0.139. Seven-day losses were widespread: XRP down 8.6%, ADA 7.2%, and BNB 5.9%, according to CoinGecko.
The pullback returned BTC to the middle of its month-long range, where thin liquidity and concentrated liquidation clusters continue to drive volatility. “We’ve observed higher local highs and lows since 21 November,” said Alex Kuptsikevich, senior market analyst at FxPro. “But sustained capitalization growth would require market cap to exceed $3.32 trillion,” roughly 6% above current levels. The global crypto market cap now stands near $3.16 trillion.
Leverage fueled much of the decline, with CoinGlass reporting $376 million in long liquidations—nearly triple the $138 million in shorts—as BTC slipped below its short-term trend line.
Macro factors offered limited support. While the Fed cut rates, projections indicate fewer reductions over the next two years, revealing committee divisions. QCP Capital expects BTC to trade in a wider $84,000–$100,000 range into year-end, while Bloomberg Intelligence strategist Mike McGlone warned that a “Santa Claus rally” may not materialize.
Traders are closely watching whether BTC can hold the $90,000–$91,000 support zone. A decisive break lower could test the bottom of the current range, whereas stabilization may set the stage for another challenge to $94,000 resistance as markets digest post-Fed conditions
