Bitcoin Price Analysis: Why BTC Could Drop Below $100K

Highlights:

• Bitcoin is making a minor intraday rebound, but overall momentum is bearish 
• Price weakness driven by liquidation of overleveraged longs
• Continuation of the correction could push the price below $100k 

Bitcoin (BTC) is in the red today, reflecting the market-wide selloff. At the time of writing, Bitcoin was trading at $103,736, down 3.53% for the day. At the same time, Bitcoin trading volumes have increased by 83.58% to reach $82.58 billion. Such a substantial increase in volumes is indicative of holders possibly exiting their Bitcoin positions. It could also be an indicator of short sellers taking positions in anticipation of more selloffs in the short term. These volume numbers are indicative of what is happening in the cryptocurrency market, with multiple factors pointing to more pain short term.

Overleveraged Longs Trigger Bitcoin Selloff

One of them is the overleveraged longs, which are easily liquidated by minor price changes. As the liquidations occur, they add pressure to a market that is already showing weakness. Data indicate that over $1.27 billion in cryptocurrency long positions were liquidated in the last 24 hours, with Bitcoin accounting for the majority of them.

With the recent correction now bringing Bitcoin to the critical $100k support level, weakness could see short sellers add to the pressure. Such pressure could be increased by multiple analysts who point to a potential Bitcoin correction to $94k in the short term.

RISK OFF $BTC & Crypto Szn

Posted this chart weeks ago
The signs of weakness have been there for weeks
The cope on the TL was getting a bit ridiculous It's not a matter of being a bear or bull…. it's a matter of respecting the strengths & weaknesses, and being indifferent to… pic.twitter.com/k4MRIL2rRa

— sak (@saksonchain) November 4, 2025

Weak Response to Rate Cuts Adds to BTC Selloff

Bitcoin’s selloff is also given weight by its recent price action, particularly at a time when the Federal Reserve has been cutting rates. In the last two months, the US Federal Reserve has cut interest rates twice, by 25 basis points each time. Before these two rate cuts, the prevailing narrative was that the cuts could trigger a bull rally.

However, this has not happened, creating the impression that the underlying demand for Bitcoin is weak. This is quite evident in the fact that other asset classes, such as stocks, have performed well from before the rate cuts to after they were implemented. With the Federal Reserve now not committing to another rate cut in December, hopes that rates will lift the market have declined. The result is that the price could drop significantly in the short term. 

🚨 BIG BREAKING

FED just confirmed NO rates cut for December pic.twitter.com/J6OmiYyI2a

— Borg (@Borg_Cryptos) November 3, 2025

Lack of Regulations Uniformity Adding to Weak Bitcoin Sentiment

Then there is the macro environment. Globally, cryptocurrency regulations are at a critical juncture. While some countries are wholly embracing pro-crypto regulations, others are making it harder for fast adoption to happen. The result is that big money players looking to hold long-term may be sitting on the sidelines until a clear consensus is established globally. This could starve Bitcoin of much-needed demand, potentially sending the price to new highs. 

Bitcoin Could Still Pull a Surprise Rebound

However, there is also the possibility that Bitcoin will pull a surprise rebound at current prices. This could be triggered by the fact that Bitcoin is currently trading close to a significant support level at $100k. Buyers expecting a rebound could overwhelm the short sellers and trigger a V-shaped recovery in the short term. The fact that institutional holders who have already invested in Bitcoin are not selling could add to investor confidence.

Technical Analysis – BTC Bearish After Losing Critical Support

Bitcoin has been on a downtrend for the last 24 hours. The selloff occurred after bears took control and pushed BTC below the $106,484 support level. If bears remain in control, Bitcoin could drop to the $100k support in the short term.

However, if buyers regain control, the key level to watch would be $106,484, which is now resistance. A retest and potential breach of this resistance could send Bitcoin’s price to levels above $110k. However, if bears remain in control and the $100k support is broken, then Bitcoin could drop to prices as low as $94k in the short term.