The price of Bitcoin has dramatically changed direction after hitting a record high of over $126,000 just two weeks ago, and the decline shows no signs of stopping. The value has now fallen into the $104,000 range, continuing a multi-day drop that has driven market sentiment to its most cautious level in months.
At present, Bitcoin’s price is $105,485, though it dipped as low as $103,516 during early morning trades on some exchanges.
According to the Bitcoin Fear & Greed Index, sentiment currently registers at 22/100, entering the ‘Extreme Fear’ category. This index, which ranges from 0 (extreme fear) to 100 (extreme greed), is widely regarded as a measure of investor psychology and potential market turning points.
On Friday, October 10, Bitcoin and the wider crypto market faced a significant sell-off after President Trump announced sweeping 100% tariffs and export controls in response to China’s new product restrictions starting November 1, 2025.
This news triggered a rapid crypto sell-off, causing Bitcoin to briefly drop by 12% and other major cryptocurrencies to decline by as much as 40%.
Currently, Bitcoin is hovering near the low point of this sell-off, with much of the broader crypto market following a similar trend.
Is Bitcoin heading lower?
The price of Bitcoin has dropped below $105,000 for the first time since June, igniting fears of a more severe correction as traders prepare for possible dips into the $90,000s or even $80,000s.
Technical indicators show a weakening momentum: Bitcoin’s Relative Strength Index has fallen to 37, while the Average Directional Index is just confirming a downtrend at 25.23.
On shorter timeframes, the selling pressure has intensified, with the RSI at 32.7 and the ADX rising above 34, indicating strong bearish momentum. Charts have also shown a “death cross” pattern—a technical sign often linked to prolonged downturns.
As for the Bitcoin Fear & Greed Index, periods of “extreme fear” frequently coincide with oversold conditions, as traders pull back from risk and liquidity decreases. Historically, such phases have sometimes preceded local bottoms, although timing remains unpredictable amidst broader market volatility.
This sell-off is occurring as macroeconomic uncertainty impacts risk assets globally. Bitcoin’s plunge parallels weaknesses in equities and commodities, as investors prepare for renewed geopolitical tensions and cautious monetary policy statements later this week.
Just two weeks ago, when Bitcoin traded above $124,000, the index reflected a reading of 70, indicating ‘greed’ and showing how dramatically sentiment has shifted.
In contrast, gold has skyrocketed to new all-time highs over $4,350 per ounce, continuing to outperform Bitcoin this year.
