Bitcoin’s Tragic Ballet: $90K Support Crumbles Like a Gogol Novel

by

Ah, the grand theater of finance! Behold, as the institutional titans, with their marble halls and ledger books thicker than a Gogol novel, stand idly by while Bitcoin, that mischievous sprite of the crypto realm, pirouettes past another precipice. The Bank of Japan, with its solemn visage, looms like a specter, its interest rate decision casting a shadow over the markets, where even the bravest investors quiver like a bureaucrat in a Gogol farce.

  • Bitcoin ETFs, those gilded carriages of modern finance, have wept $1.6 billion in outflows over four days-a veritable deluge of despair!
  • The $90k support, once a stalwart guardian, has crumbled like a poorly constructed bridge in a Gogol tale, leaving investors clutching their ledgers in horror.
  • Short-term technicals, those fickle harbingers of doom, whisper of further descent-a descent into the absurd, no doubt.

SoSoValue, that oracle of numbers, proclaims that the 12 spot Bitcoin ETFs in the U.S. bled $32 million on Thursday, Jan. 22. BlackRock’s IBIT, with its august name, led the exodus with $22.3 million, while Fidelity’s FBTC trailed like a hapless sidekick with $9.7 million. The others? Silent as a Gogol protagonist lost in thought.

Four days of outflows, a $1.6 billion exodus, and January’s tally swells to $14.55 million. November’s $3.48 billion loss and December’s $1.09 billion departure seem but prelude to this grand tragedy. Will Bitcoin ETFs close another month in the red? The markets hold their breath, as tense as a Gogol character awaiting their fate.

Thursday’s outflows were born of ‘extreme fear,’ a sentiment as palpable as the dread in a Gogol novella. The Bank of Japan’s interest rate decision loomed like a storm cloud, threatening to hold rates at 0.75%, a level not seen since the days when noses were still being turned into bread (or was it the other way around?). High rates, those stern taskmasters, strengthen the Yen and dim the allure of risk assets, leaving Bitcoin to fend for itself in the wilderness.

Yet, the Japanese bank, ever the pragmatist, held rates steady, as expected, easing the immediate pressure on global risk assets. A sigh of relief, perhaps, but the damage was done.

Bitcoin, that restless soul, plunged to an intraday low of $88,557 after losing its $90k grip on Thursday, only to claw back some dignity post-BoJ. But the psychological support at $90K remains elusive, a mirage in the desert of finance. At press time, the bellwether trades 10% below the $100k resistance, a level it abandoned in mid-November, like a character fleeing a Gogol nightmare.

Bitcoin Price Analysis: A Farce in Three Acts

On the daily chart, Bitcoin’s price action is a tragicomedy. It has fallen below the ascending trendline that once cradled it like a loving mother since late November. Each time it slipped, the bulls, those valiant fools, rallied to restore its trajectory. But now, the loss of this critical support portends a deeper correction-a descent into the absurd, no doubt.

Below the 50-day simple moving average, Bitcoin wallows, a sign that selling pressure has intensified, and momentum favors the bears. The MACD indicator, that dour prognosticator, confirms a bearish crossover-a harbinger of further woe.

For now, the downtrend persists, with bears eyeing a return to the mid-December low of $85,000. A level as foreboding as a Gogol antihero’s fate. Yet, hope flickers: a decisive rebound above $90k could invalidate this bleak forecast, paving the way for a recovery to January’s high of $97,538. But in the world of finance, as in Gogol’s tales, hope is a fragile thing.

Read More

2026-01-23 14:42