Hayes, blaming bitcoin’s slump on a liquidity crunch engineered by the U.S. Federal Reserve and Treasury, said bitcoin could surge back to over $200,000 before the end of the year if dollar liquidity conditions change, branding bitcoin “the free-market weathervane of global fiat liquidity.”

Bitcoin's (CRYPTO: BTC) fall from grace has sparked debate about whether the decline was driven by long-term holder (LTH) distribution or a wave of short-term panic selling. What Happened: According to CryptoQuant,

Bitcoin has fallen below its 365-day support, raising the risk of a deeper correction. Analysts assess whether BTC could slip under $90,000.

Crypto markets extended their retreat today as the Bitcoin price hovered near a seven-month low at $88,890 — down 4% on the day and trading near the bottom of its weekly range.

November keeps getting worse for Bitcoin and friends. On Nov. 18, Bitcoin (BTC) dropped below $90,000 after a death cross formation, and was trading at $89,426 before climbing back up. This was the lowest level it had dipped to since April.

Bitcoin’s second drop below $100,000 in one week triggered alarms. It now trades under the 365-day moving average, a level that marked regime changes in the 2018 and 2021 bear markets. Detailed analysis shows this indicator effectively separates bullish and bearish phases across cycles.

Bitcoin’s SuperTrend indicator has turned red, a historically bearish signal that has often preceded major price declines.