Bitcoin (BTC) Price Falls 2% Below $90K as Bulls Fail to Hold Momentum Ahead of White House Crypto Summit

Bitcoin fell 2 percent on March 6, slipping below $90,000 as market optimism faded despite anticipation of a potential U.S. Bitcoin reserve announcement.

Key Takeaways:

* Bitcoin fell 2 percent by 6 March as market optimism waned despite anticipation of a potential U.S. Bitcoin reserve announcement at the White House Crypto Summit.

* Bulls failed to sustain gains above $92,000, encountering strong resistance that prevented a breakout into Bitcoin’s previous trading range.

* Traders remained largely indifferent to the news, preferring to observe the events of March 7 in a neutral fashion.

* U.S. jobless claims data increased rate cut expectations, but macroeconomic catalysts had little immediate impact on crypto markets.

Bitcoin Struggles Below $90K as Bulls Fail to Hold Momentum

Bitcoin's brief push toward $93,000 met strong resistance, leading to a 2 percent decline as market participants remained skeptical about a potential Bitcoin reserve announcement at the White House Crypto Summit.

Data from Cointelegraph Markets Pro and TradingView confirmed that BTC/USD rejected $92,000 for the second time this week, signaling continued resistance at this key level.

"There's the retest of $92K resistance. It worked so well the first time bulls wanted to do it again," trader Justin Bennett remarked, disclosing a short position from $91,000.

Traders Await U.S. Crypto Summit Amid Mixed Sentiment

Despite growing rumors that the U.S. government may introduce a Bitcoin or crypto reserve policy, traders largely dismissed the news, displaying a preference for caution ahead of the March 7 event.

"Still no sign of Bitcoin at the White House. Personally, I'm not expecting any major surprises," said another trader.

Other analysts, such as eMarketer, highlighted $90,000 as a key decision point for traders, suggesting that a breakdown below this level could push Bitcoin lower toward key support levels.

"Will BTC break down below $90K and continue the move lower to touch the 200-week MA at $60K?" the analyst questioned.

Will the Crypto Summit Spark a Bitcoin Breakout?

However, some market participants, such as Crypto Fella, noted that Bitcoin's recent price action could be setting up for a major breakout, considering the expected volatility surrounding the White House Crypto Summit.

"We're about to see some serious moves in the crypto market with the US government crypto summit on Tuesday," the analyst stated.

If policymakers announce a Bitcoin reserve framework, it could act as a catalyst for renewed bullish momentum, potentially pushing Bitcoin above $95,000 to test the 0.618 Fibonacci retracement level.

However, if the announcement is vague or lacks immediate action, Bitcoin could face further downside pressure, with the next support level at $88,000.

Macroeconomic Trends: Fed Rate Cut Speculation Grows

Beyond crypto-specific events, traders continue to monitor U.S. macroeconomic trends, particularly interest rate expectations from the Federal Reserve.

According to Benzinga, U.S. jobless claims came in higher than expected, fueling speculation that the Fed may cut rates sooner to prevent a further economic slowdown.

According to the CME Group’s FedWatch Tool, markets are pricing in a 45 percent chance of a rate cut in May, a shift that could support Bitcoin and risk assets.

However, inflation remains a wildcard, and the Federal Reserve has yet to confirm any significant policy changes.

What’s Next for Bitcoin?

$90,000 remains a key support level – If Bitcoin holds above this threshold, a retest of $92,000 and $95,000 could be possible.

Crypto Summit’s impact remains uncertain – A strong pro-Bitcoin policy shift could boost market confidence, while a lack of clarity could lead to further declines.

Macroeconomic trends favor Bitcoin in the long term – If rate cuts materialize, liquidity expansion could support a renewed Bitcoin rally.

Bitcoin's price action throughout the week has largely reflected trader skepticism as markets await concrete policy announcements before taking decisive action. If the U.S. government signals a stronger embrace of Bitcoin, it could provide the momentum needed to break above $95,000 and reach new all-time highs. However, if regulatory uncertainty lingers, Bitcoin may remain range-bound or face further downside pressure.