Bitcoin Slides to $108K as Whales Dump and Macro Storm Clouds Gather

The immediate culprit? Big-money whales offloading chunky tranches of BTC on Binance, pushing prices lower and triggering cascading liquidations across the crypto complex. According to CoinGlass, nearly $540 million in leveraged bets evaporated in 24 hours.

This is classic crypto theatre: a few whales pull the rug, traders overexposed on leverage get washed out, and suddenly the chart looks like a ski slope. BTC/USD is now trading at its lowest levels since July 8, down almost 4% on the day.

Bitcoin is down to $108,000, the lowest since early July, source: Bitcoin Price (BTC) via Brave New Coin

Technicals: RSI Divergence the Lone Silver Lining

Despite the bloodbath, some traders are clinging to technical green shoots. Daan Crypto Trades called the current zone “a good area to keep watching,” sitting right on top of prior consolidation.

Meanwhile, crypto analyst Dave the Wave pointed out that the structure remains bullish, with momentum indicators hinting that a reversal toward $123,000 is still in play. In other words, Bitcoin’s chart looks awful—until it doesn’t.

Fed, Inflation, and the Macro Backdrop

Macro is weighing heavy too. The U.S. PCE Index (the Fed’s preferred inflation gauge) came in line with expectations, reinforcing a rebound in inflation. Yet markets are still pricing a Fed rate cut in September, according to CME’s FedWatch Tool.

But there’s a catch: as Mosaic Asset warned, strong payroll numbers next week could blow up those expectations. Traders are effectively stuck playing Fed roulette, with Bitcoin caught in the crossfire.

Historically, September is Bitcoin’s weakest month—combine that with inflation jitters, and the seasonal headwind is obvious.

Wall Street’s Executives Are Quietly Hitting Sell

Zooming out, broader risk sentiment looks shaky. Insider sales are skyrocketing. X user Malone_Wealth flagged that the top 200 trades by U.S. executives last week were all sales—an “unprecedented” event. Walmart’s Jim C. Walton is dumping nearly $1 billion in stock, while execs at Snowflake, Amer Sports, and Dutch Bros are all cashing out big. When the C-suite is hitting the sell button this hard, it usually means they see trouble on the horizon.

China and AI Add Fuel to the Fire

China isn’t helping either. The country’s five largest lenders reported record-low margins and a sharp rise in bad debt, torching $5.2 billion in soured loans in Q1 alone. That’s an 8x increase year-over-year—the kind of stat that doesn’t exactly scream “global recovery.”

Meanwhile, the much-hyped AI trade is wobbling. Nvidia admitted that 44% of its data center revenue comes from just two clients, spooking investors despite blockbuster earnings. Shares fell nearly 5% in two days. Super Micro Computer (SMCI) added more fuel to the fire by flagging “weaknesses” in its financial reporting—its stock tanked 5.1% on Friday.

If AI was supposed to be Wall Street’s new golden goose, cracks are showing fast.

Risk Aversion Creeps In

Bond markets are also flashing caution. The U.S. 2-year Treasury yield dropped to 3.62%, the lowest in four months, suggesting investors are running to safety even as inflation lingers.

Combine that with whale selling, miner outflows, and fragile macro conditions, and Bitcoin’s dip under $108K starts to look less like a fluke and more like a symptom of systemic risk aversion.

The Bottom Line

The crypto faithful will tell you the bullish RSI divergence means a +15% bounce toward $123K is possible. And sure, maybe it is. But for now, Bitcoin is caught in the crosswinds of whale games, Fed policy roulette, insider dumping, Chinese bank stress, and a cooling AI mania.

The big question isn’t whether Bitcoin can claw back to $114K—it’s whether markets still believe in the broader risk-on narrative. Right now, that faith looks fragile.