Bitcoin (BTC) faced a steep correction on Monday, January 27, 2025. BTC has dropped under $ 100,000, and other assets follow suit. Access is down 5.8 % in daily charts and 7.8 % compared to the previous week. Despite the decline, BTC is 6 % in the 14-day diagrams, 4.9 % compared with the previous month and 137.1 % since January 2025.
Also read: Bitcoin to $ 98,000: Why is the market for cryptocurrency down today?
Here’s why the cryptocurrency market can be down
Inflation in the United States rose to 2.7 % in December 2024. The Federal Reserve took a hay -like attitude with its monetary policy to fight rising inflation. The Fed announced only two interest rates in 2025 instead of three. Developments may have led to lower inflows to BTC and other cryptocurrencies.
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Will Bitcoin reach a new record ever?
According to the prominent cryptocurrency analyst Ali Martinez, if BTC’s main-and-axis pattern fails, access can rise to a new All-Time High of $ 122,000. Reaching $ 122,000 from current price levels will mean a rally of about 23%.
The failure of this head-and-axlar pattern indicates a potentially upward target of $ 122,000 for #Bitcoin $ BTC! pic.twitter.com/vmtfoarnso
– ali (@ali_charts) January 27, 2025
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There is also a possibility that BTC will continue to fall. Macroeconomic development can slow down investment in cryptocurrencies. How the original Krypton moves over the next few weeks remains to be seen.