- BTC tests critical $80,000 support after failing to reclaim the $84,000 level.
- Spot Bitcoin ETFs recorded significant outflows, signaling weaker institutional demand.
- Fed decision and economic data could determine Bitcoin’s next major move.
Bitcoin is entering a pivotal week as traders weigh several major risks. The leading cryptocurrency has slipped toward the lower end of a key trading range after failing to reclaim higher levels. At the same time, spot Bitcoin ETFs have recorded fresh outflows, raising concerns about weakening institutional demand. With the Federal Reserve preparing to announce a policy decision, market participants are closely watching the $80,000 support level for clues about Bitcoin’s next move.
ETF Outflows Add Pressure to Bitcoin
At press time, Bitcoin was trading near $80,500 after another rejection above $84,000. The recent decline pushed price toward an area that buyers have defended several times this month. The pullback comes as spot Bitcoin ETFs experience renewed selling pressure. U.S. Bitcoin funds recorded nearly $138 million in net outflows on Oct. 23. That followed a much larger withdrawal of more than $635 million the previous day.
BlackRock’s IBIT led the outflows with over $110 million leaving the fund. Fidelity’s FBTC also posted notable withdrawals. Despite those losses, the broader weekly picture remains more balanced. Strong inflows earlier in the week helped ETFs maintain a positive net balance over the seven-session period. Market analysts remain divided. Crypto Tony believes the next meaningful support zone sits near $79,800.
His outlook reflects the cautious sentiment spreading across the market. Meanwhile, Doctor Profit sees the current range as an accumulation opportunity rather than a reason for concern. Technical indicators show mixed signals. The daily RSI sits near 43, suggesting moderate weakness. However, the reading remains above oversold territory. The MACD also remains negative, supporting a bearish short-term outlook.
Fed Meeting and Market Data Take Center Stage
The $80,000 region remains important for Bitcoin bulls. Buyers have repeatedly stepped in around that area. The zone also aligns with the estimated cost basis for many ETF investors and corporate treasury buyers. On-chain data offers some encouragement. Realized profit-taking has slowed significantly compared with September levels. Long-term holders also appear less eager to sell than earlier this month.
Bitcoin’s MVRV ratio stands near 1.50. Historically, overheated markets often reach much higher levels. That suggests current conditions do not reflect extreme speculation. Still, several challenges remain. Investors who entered positions six to twelve months ago have a cost basis near $86,700. That level could create resistance during future rallies.
Outside the crypto market, macroeconomic factors continue influencing sentiment. Brent crude remains above $110 per barrel, while geopolitical tensions support risk aversion. Attention now shifts to the Federal Reserve’s upcoming decision, along with GDP and inflation data later in the week. For now, Bitcoin sits at a critical crossroads.