**Bitcoin Dips Below $90,000 Amid Market Concerns**
Bitcoin fell below $90,000 for the first time in two days, dropping 3.4% on Thursday, as market uncertainty around riskier assets weighed on sentiment. The cryptocurrency has been trading in a narrow range of $85,000 to $95,000 over the past month, with smaller tokens like Ether also seeing losses.
According to Alex Kuptsikevich, chief analyst at FxPro, a drop below $88,000 could signal the end of the recent recovery and bolster bearish sentiment. The crypto market has been struggling since a major selloff in October, which wiped out $19 billion in liquidations.
Despite a boost in traditional equities following a US Federal Reserve interest rate cut, the crypto market has failed to rally. Sean McNulty from FalconX noted a “clear decoupling” between crypto and traditional markets, with $85,000 seen as a critical support level for Bitcoin.
While institutional demand remains strong—such as Strategy Inc. acquiring over $962 million worth of Bitcoin—this has not been enough to push prices higher. Futures markets are showing bearish sentiment, with negative funding rates indicating that short positions are on the rise. Bitcoin’s recent rebound from a low of $80,537 could face further pressure, with analysts cautioning that a retest of this level is possible.
