Bitcoin’s Struggle: $113K and the Fed’s Rate Cuts Saga – A Turbulent Tale

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Key points:

  • Bitcoin, like a troubled soul in the depths of despair, attempts a pitiful recovery at $113,000 after plunging to a grim $112,000. Traders, full of grim foreboding, wager that another fall may be on the horizon.

  • The Nasdaq’s performance, a warning sign flashing in the night, signals overheating RSI conditions that may ripple through the crypto market. Is disaster looming? Only time will tell.

  • A Federal Reserve official, with a voice like the storm on the horizon, hints at a faster pace of interest-rate cuts. But will this be the balm to heal the wounds or merely a fleeting illusion?

Bitcoin (BTC), poor soul, sought to turn its fate at $113,000 this Wednesday, as traders, strapped in for the ride, brace themselves for another plunge as the fourth quarter looms like an unavoidable fate.

New BTC Price Bottom Targets Include $108,000

The figures from CryptoMoon Markets Pro and TradingView offer little solace. BTC/USD, circling like a bird of prey, hangs near its daily open level, with little respite from its slump.

The pair, in a sad and reluctant dance, shows only a modest rebound from the lowest depths in nearly two weeks, with $111,600 acting as the fragile line between hope and despair.

Market participants, like weary philosophers debating fate, discuss potential bounce levels in case Bitcoin takes another tumble.

“I wonder,” says Michaël van de Poppe, crypto trader, analyst, and entrepreneur, “if Bitcoin can hold these desperate levels of support. If so, perhaps $115K is the next elusive mountain. But if not? Prepare for the inevitable slide to $106-108K-the so-called ‘max buy zone.’”
Such optimism. How fleeting.

“If not? Probably another cascade to $106-108K > max buy zone.”

BitBull, the ever-pessimistic trader, is also keeping a wary eye on the 100-day exponential moving average (EMA). Will it stand tall, or crumble like the old regime?

“Bitcoin bounced back from its daily EMA-100 level,” BitBull murmurs. “But don’t be fooled-another dump is on the cards. Last time it lost this level, it was a full-blown capitulation. With Q4 upon us, I believe the whales are preparing to push BTC further down into the abyss, just to add salt to the wounds.”

“Last time, BTC lost this level which resulted in a capitulation. With Q4 coming, I think whales will try to push BTC below this level to create max pain.”

Ted Pillows, the eternal optimist-or is he?-examines the connection between Bitcoin and the Nasdaq 100 index, gazing upon the RSI as one might stare at a crystal ball, seeking omens of doom.

“The Nasdaq RSI has reached 78, its highest since July 2024,” he observes, his voice laden with dark foreknowledge.

“Last time the Nasdaq daily RSI was this high, a 17% dump occurred within weeks. And since crypto is so tightly bound to Nasdaq, expect the same fate for Bitcoin and its pitiful cousins, the altcoins.”

If a 17% retracement happens, BTC/USD could be found hovering sorrowfully around $94,000, a pitiful shadow of its former glory.

Bowman Sees “Faster Pace” on Fed Rate Cuts

But let us turn our attention to the Federal Reserve, the so-called architects of policy, who continue to play their delicate game of cat and mouse. The latest whispers of an interest-rate cut are not enough to stir excitement; after all, what is hope without a foundation?

In a speech delivered to the 2025 Kentucky Bankers Association Annual Convention in Asheville, North Carolina, Vice Chair for Supervision Michelle Bowman warned of the Fed being “behind the curve” when it came to rate cuts. Is this a confession? A moment of rare truth?

“In my view, the recent data, including the estimated payroll employment benchmark revisions, show that we are at serious risk of already being behind the curve in addressing deteriorating labor market conditions,” she said, sounding more like a prophet of doom than a banker.

“Should these conditions continue, I fear we will need to accelerate our policies and act swiftly, perhaps to a greater degree than we have before.”

Elsewhere, CryptoMoon reported on the thoughts of former BitMEX CEO Arthur Hayes, who argued that US President Donald Trump might use the Fed as a tool, manipulating policy like a puppet on strings.

Trump, ever the vocal critic, has demanded rate cuts for months, even threatening to dismiss Fed Chair Jerome Powell. Will he succeed in this political drama? Only the fates know.

And so, this grand tale unfolds, like an opera of economic despair, where each decision ripples through the markets, each word a potential catalyst for change. Let us wait, with bated breath, for the next act to reveal itself.

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2025-09-23 18:20