- Bitcoin price has fallen to a low of $110,956 as Friday’s gains evaporate.
- The decline has accelerated amid a BTC sell-off and a drop in dominance.
- Analysts warn Bitcoin could extend losses below $110,000 amid the broader pullback.
Bitcoin’s slide that followed the brief surge after Federal Reserve Chair Jerome Powell’s Jackson Hole remarks on Friday has pushed the price below $111,000.
The leading cryptocurrency has slipped more than 3%, trading as low as $110,956 on major exchanges, as the rally sparked by Powell’s comments on monetary policy and risk assets quickly faded.
Bitcoin’s market dominance also fell sharply, slipping to roughly 57%.
Analysts remain broadly positive on Bitcoin’s longer-term outlook, but could the price fall below $110,000 and trigger further losses in the near term?
Bitcoin drops toward $111,000
Cryptocurrencies spiked on Friday when risk assets rallied after Powell suggested the central bank might consider cutting rates sooner than previously expected.
That short-lived rally from the Jackson Hole economic symposium has since reversed, with Bitcoin tumbling to test the $110,000 area.
On August 22, BTC reached an intraday peak near $117,000, up from earlier lows around $113,000 that same day.
Market participants note that the recent drop coincided with a large whale selling roughly $2.7 billion worth of BTC, intensifying the downward move.
The rapid sell-off has contributed to the decline in BTC dominance, which now hovers around 57%.
Asia Colour – 25 Aug 25
1/ $BTC’s post-Jackson Hole bounce didn’t last long, with a ~$2.7bn early-holder sale during thin Sunday liquidity sparking a flash crash that wiped out $500m in leveraged positions within minutes.
— QCP (@QCPgroup) August 25, 2025
Spot ETF flows also reflect Bitcoin’s weakness: six consecutive sessions of outflows have added pressure on bullish sentiment.
What’s next for BTC? Analysts weigh in
Longer term, many analysts remain constructive on Bitcoin, and a return toward the all-time high above $124,000 is still possible.
However, on a shorter horizon, on-chain analytics firm Glassnode highlights distribution across investor cohorts, signaling increased selling pressure.
Specifically, holders in the 10–100 BTC cohort have been the largest sellers, and the uniform movement across cohorts points to broad sell-side activity in the market.
All $Bitcoin cohorts have now decisively moved into distribution, led by the 10–100 $BTC group. The uniformity across cohorts highlights broad sell-side pressure emerging in the market. pic.twitter.com/zVZkaPN2Tf
— glassnode (@glassnode) August 25, 2025
Heightened selling could open the door to a break below $110,000, which would likely trigger additional downside momentum.
Still, analysts at QCP Group remain confident in Bitcoin’s bullish prospects. They argue that buyer resilience has absorbed similar pressure in the past, notably in July.
With BTC dominance slipping, QCP suggests this rotation could favor Ethereum, particularly if Ethereum staking ETFs receive approval later in the year.
“BTC dominance slipped from 60% to 57%. Still above the sub-50% levels of 2021, but enough to fuel speculation that whales expect $ETH to outperform, especially if ETH staking ETFs secure approval later this year,” QCP noted.
Bitcoin is currently trading around $111,200, rebounding slightly from the recent lows first seen in early July. Traders and investors will be watching the $110,000 level closely, along with broader market conditions, for clues about the next move.