Bitcoin falls to $113,000, Ethereum touches $4,100! Analyst: Jackson Hole market may further consolidate.

Before Federal Reserve Chairman Powell delivered an important speech at Jackson Hole, the cryptocurrency market showed a significant cooling. Bitcoin (BTC) fell to around $113,000, while Ethereum (ETH) touched the $4,100 mark. Analysts pointed out that profit pullbacks, leveraged liquidations, and ETF fund outflows are collectively driving the market into a wait-and-see and consolidation phase.

BTC and ETH both pull back: profit-taking and leverage liquidation pressure

According to data from The Block, BTC fell by 2.78% to $113,234 on Tuesday, hitting a low of $112,709 during the trading session; ETH experienced a larger decline, dropping 5.44% to $4,108.

Vincent Liu, Chief Information Officer at Kronos Research, stated that after BTC reached an all-time high earlier this month, the market experienced a wave of profit-taking, and the liquidation of leveraged positions further intensified the downward pressure.

Ethereum Key Support: $4,200 is the Bull-Bear Watershed

Mr. Liu pointed out that the $4,200 position of ETH is a key liquidity pivot:

Hold at $4,200: likely to attract buying interest, driving a price rebound.

Fell below $4,200: Funds may quickly flow to the $3,900 support zone.

Recently, the volatility of ETH has synchronized with the capital flow. In the first two weeks of August, there was a strong inflow into Ethereum spot ETFs, but recently, there has also been a capital outflow, indicating a weakening of short-term sentiment.

ETF fund flows slow down and wait-and-see before macro events

(Source: The Block)

After a record-breaking July, the inflow of funds into spot Bitcoin ETFs has noticeably slowed down, with even a net outflow occurring in August. This change is closely related to macroeconomic uncertainty.

Peter Chung, head of research at Presto Research, pointed out that Powell's speech at Jackson Hole on Friday is the biggest variable recently:

If the rhetoric is hawkish: it may dampen the market's expectations for a rate cut in September, triggering a significant pullback.

If the rhetoric is dovish: the market may welcome a rapid rebound.

Short-term Outlook: Consolidation Pattern May Continue Until After the Meeting

Analysts generally believe that the current market trend is the result of investors positioning themselves for significant policy events.

BTC Technical Analysis: Short-term support level is at 112,500 USD, and resistance level is at 115,500 USD.

ETH technical analysis: $4,200 is a key support level, and if it rebounds, the primary challenge will be the $4,300-$4,350 range.

Before the results of the meeting are announced, traders may maintain low leverage and a wait-and-see strategy, waiting for clearer policy signals.

Conclusion

Bitcoin and Ethereum are both under pressure ahead of the Jackson Hole meeting, with the market entering a typical "pre-event consolidation" mode. The slowdown in ETF fund flows and macro policy uncertainty make the short-term trend more reliant on Powell's speech content. Investors need to closely monitor the performance of key support levels such as $4,200 (ETH) and $112,500 (BTC) to assess the market direction after the meeting. For more real-time analysis of the crypto market, please follow the official Gate platform.