Bitcoin cracks $90K floor and slips below $88,000 ahead of Fed week

Bitcoin cracks $90K floor and slips below $88,000 ahead of Fed week

NEW YORK, Jan 25, 2026, 15:37 EST

  • Bitcoin dipped under $88,000 during quiet weekend trading, with investors eyeing the upcoming U.S. Federal Reserve meeting and a packed earnings schedule from major tech companies.
  • A crypto sentiment gauge monitored by CoinMarketCap dropped to 34, which FXEmpire called “early panic mode.”
  • Binance News noted that bitcoin’s slump against soaring gold and silver prices has reignited discussions around longer-term threats like quantum computing.

Bitcoin dipped under $88,000 on Sunday during light weekend trading, continuing a retreat seen across major cryptocurrencies. The move comes ahead of the U.S. Federal Reserve meeting and a packed slate of Big Tech earnings.

Traders are keeping a close eye on this, as crypto has faltered whenever markets factor in higher-for-longer interest rates. With borrowing costs elevated, leverage becomes costly and risk appetite often dries up quickly.

This week arrives at a tricky moment for positioning. Major earnings reports have the power to rattle broader markets, and bitcoin tends to behave like a high-risk asset when volatility spikes.

Technical traders have zeroed in on round numbers like $90,000 and $88,000—key “support” levels where buyers usually jump in. Sentiment is looking fragile. The Crypto Fear and Greed Index from CoinMarketCap dropped to 34. FXEmpire’s Alejandro Arrieche pointed to a bearish “flag” pattern emerging, often signaling a pause before prices slide further. FXEmpire

Binance News highlighted a growing gap between bitcoin and traditional safe havens, noting gold reached new highs near $4,930 an ounce and silver climbed toward $96, while bitcoin struggled to hold above $90,000. Charles Edwards, founder of Capriole Investments, predicted gold could soar to between $12,000 and $23,000 within three to eight years, adding that “gold’s upside is far from finished.” Meanwhile, Nic Carter of Castle Island Ventures attributed bitcoin’s lag to “quantum” factors. Binance

Not everyone is convinced by the quantum narrative. Binance News reported that on-chain analysts and long-term investors see profit-taking and a surge in supply as bitcoin approached $100,000, which stalled further gains.

Quantum computing is the concept that future devices might tackle specific math problems much faster than current computers. Some experts warn this could one day jeopardize the cryptography protecting bitcoin wallets, but developers maintain the threat is controllable with timely upgrades before it turns practical.

Right now, the price moves feel immediate and familiar: thin liquidity, jittery positioning, and traders glued to their charts ahead of a week packed with macro events.

The downside isn’t complicated. Should the Fed adopt a sterner stance than anticipated, or if earnings disappoint, bitcoin might fall further into the mid-$80,000s. Technical selling pressure and stop-loss triggers could accelerate the drop.

The reverse is straightforward too. Bitcoin moves nonstop, and a dip in rates or a bounce in risk assets could push it back over $90,000 fast, particularly with thin weekend volumes.

Bitcoin now faces a critical challenge: can it break back above $90,000 and stay there, or will this slide mark the beginning of a deeper downturn?

Khadija Saeed

Khadija Saeed is a financial markets reporter at TS2.tech. Her coverage ranges from stocks and technology to emerging industries and developments across global markets. She studied economics and finance at the London School of Economics and worked in market research before becoming a financial journalist. Follow Khadija Saeed on Google News.

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