Bitcoin falls more than 5% to $96,200 after strong US economic data pointed to smaller Fed rate cuts in 2025.

Bitcoin It fell more than 5% to $96,200 after hitting the $100,000 level in the previous session. The decline was optimistic US economic dataindicating a strong economy and strengthening the argument in favor of smaller interest rate cuts by the Federal Reserve.

Recent data showed that service sector activity in the United States accelerated in December, and job opportunities increased in November. This resilience in the US economy suggests fewer interest rate cuts by the Fed in 2025.

Markets now expect only one Fed rate cut in 2025, down from two in December, according to the CME FedWatch tool. The Fed had previously indicated two interest rate cuts this year, half of what was previously expected.

At 10:43 a.m. EST, Bitcoin was trading at $96,400, down 5.4%, with an intraday high of $102,022 and low of $96,132.“The broader Bitcoin and cryptocurrency market saw a sharp decline today following the release of stronger-than-expected US economic data. The 10-year US Treasury yield rose to 4.68%, near multi-year highs, leading to a rapid decline in cryptocurrency asset prices and “The liquidation of $504 million of long positions represents the first significant jolt to leverage this year,” said Vikram Suburaj, CEO of Giottus.

Edul Patel, CEO of Mudrex, added, “Currently, BTC support is back at $94,500 with immediate resistance at $98,600.” Meanwhile, Avinash Shekhar, Co-Founder and CEO, Pi42 advised, “For investors, it is important to remain cautious and avoid overexposure, especially in landscapes where momentum can reverse within hours.also It reads: Understanding Bitcoin’s role in modern investment portfolios

Other major altcoins also fell on Wednesday, including Ethereum (-9%), XRP (-4.3%), BNB (-4.7%), Solana (-9%), Dogecoin (-10.7%), and Cardano ( -9%). And Tron (-7.5%), Shiba Inu (-10.2%), and Avalanche (-12%). The global cryptocurrency market capitalization fell by 6.15%, reaching $3.36 trillion.

The volume of all stablecoins now stands at $158.08 billion, representing 92.97% of the total 24-hour cryptocurrency market volume, according to data available on CoinMarketCap.

In the past 24 hours, the market value of Bitcoin, the world’s largest cryptocurrency, fell to $1.907 trillion. Bitcoin dominance currently stands at 56.8%, according to CoinMarketCap. Bitcoin volume in the past 24 hours increased by 22.6% to $61.6 billion.

Technical presentation by Sathvik Vishwanath, Co-Founder and CEO of Unocoin

Bitcoin (BTCUSD) is currently trading at around $96,500, with a bearish outlook expected to push prices towards $95,195. It is important to monitor this level as a break below could trigger further declines and perhaps target $90,000 and $87,055 as key support areas. Downward momentum is reinforced by price action below the 50-day moving average. However, if Bitcoin manages to break above the $99,785 level, it may reverse the negative trend and resume its upward trajectory.

The expected price range for today is between $93,500 (support) and $98,500 (resistance), with the expected trend remaining bearish.