Bitcoin’s Price Drops Below $90K: Understanding the US Crypto Reserve News
Introduction
Bitcoin, the world’s favorite digital money, has had a big price drop recently. It fell below $90,000 after the US announced something called the US Crypto Reserve[2]. This made some people sell their bitcoins, causing the price to go down. Let’s find out why this happened and what it means for the world of cryptocurrencies.
The US Crypto Reserve Announcement
On March 3, 2025, Bitcoin’s price went down a lot after the US announced the US Crypto Reserve[2]. This made some traders sell their bitcoins because they thought the price might go down more. They wanted to make money before the price went down. This is called “sell the news.” It shows that some people don’t think Bitcoin’s price will keep going up.
Bitcoin’s Price Movement
Let’s look at some things that help us understand Bitcoin’s price changes. The Relative Strength Index (RSI) went from 70 to 62, which means Bitcoin moved from being overpriced to a more normal price[2]. The Moving Average Convergence Divergence (MACD) showed that the price might go down more[2]. The Bollinger Bands showed that the price was changing a lot[2]. More people were trading Bitcoin too, with 30% more trades on big exchanges like Coinbase and Kraken[2].
Important Price Levels
People are watching some important levels where the price might stop or turn around. If the price goes down to $80,400, it might stop there because that’s where the 200-day moving average is[1]. Another important level is around $74,000, where people might buy more bitcoins because it’s near a line that connects many important points on the chart[1]. If the price goes back up above a certain level, it might go up to $98,500, which is near the 50-day moving average[1]. If it goes above that, it might go up to $106,000[1].
Other Things Affecting Bitcoin’s Price
There are other things affecting Bitcoin’s price too. Some people are worried about problems in the US, like tariffs, and a big crypto hack that happened recently[3]. People are also selling Bitcoin-backed ETFs, which is making the price go down[3]. There aren’t any new good things happening, like new rules for cryptocurrencies, that might make the price go up[3].
Conclusion: Dealing with Price Changes
Summary and What’s Next
Bitcoin’s price going down below $90,000 shows that its price can change a lot. The US Crypto Reserve news made some people sell their bitcoins, and other things are affecting the price too. As the price goes up and down, it’s important to watch the important levels we talked about. What happens to one cryptocurrency can also affect others, so we need to understand how they’re connected[2]. As Bitcoin keeps changing, understanding these things will help us deal with its price changes.
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Sources:
– Investopedia
– Blockchain.News
– PYMNTS
– [The Street](https://www.thestreet