The latest headlines surrounding President Trump’s pick for Jerome Powell’s replacement have intensified risk-off sentiment across global markets. This developmentThe latest headlines surrounding President Trump’s pick for Jerome Powell’s replacement have intensified risk-off sentiment across global markets. This development

Bitcoin Price Prediction: How Deep Could BTC Fall if $80K Support Breaks?

2026/02/01 00:51
3 min read
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The latest headlines surrounding President Trump’s pick for Jerome Powell’s replacement have intensified risk-off sentiment across global markets. This development has weighed heavily on equities and risk assets, with crypto reacting swiftly as liquidity conditions tighten and volatility rises.

Against this backdrop, Bitcoin has experienced a decisive technical breakdown, shifting focus toward key demand zones

Bitcoin Price Analysis: The Daily Chart

On the daily timeframe, BTC has confirmed a bearish breakout below the flag structure, signaling a continuation of the broader bearish move rather than a temporary pullback. This breakdown invalidated the prior consolidation phase and opened the door for accelerated downside momentum.

The asset is now directly confronting the major psychological demand zone at $80K, as highlighted on the chart. This area represents a critical buyers’ base that previously acted as a springboard for impulsive upside moves. The market’s reaction here is crucial.

Holding this zone could trigger a relief bounce or short-term stabilization, whereas a clean loss would expose lower-liquidity pockets and shift the medium-term bias decisively bearish. The macro uncertainty driven by Fed leadership concerns further increases the probability of volatility expansion around this level, making this demand zone a key decision point.

BTC/USDT 4-Hour Chart

Zooming into the 4-hour chart, the structure becomes more tactical. Following the sharp breakdown, Bitcoin is now showing early signs of exhaustion, suggesting the possibility of a short-term pullback.

From a market-structure perspective, the last supply zone overhead at the $88K crucial zone stands out as the most likely magnet for any corrective move. This area previously acted as a distribution before the impulsive sell-off and is expected to attract sellers on a retest.

A pullback into this supply zone would be technically healthy, allowing the market to rebalance before deciding on continuation or reversal. Failure to reclaim it would reinforce bearish control, while acceptance above it would be the first signal of structural recovery.

On-Chain Analysis

On the on-chain side, the Realized Price – UTXO Age Bands reveal an important shift in behavior. Longer-term holders remain relatively stable, while shorter-term cohorts show signs of stress as the price trades closer to their realized levels.

Notably, the compression between mid-term realized prices and the asset breaking below the 12-18 month cohort’s realized price suggests that Bitcoin is approaching an area where historical accumulation tends to emerge, particularly if macro fear peaks. While this does not guarantee an immediate bottom, it does support the idea that downside from here may become increasingly reactive rather than trend-driven.

Combined with heightened macro uncertainty, this on-chain positioning reinforces the importance of the current demand zone as a potential pivot area for the next major move.

The post Bitcoin Price Prediction: How Deep Could BTC Fall if $80K Support Breaks? appeared first on CryptoPotato.

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