Bitcoin (BTC) Dips to $63,504 as Polymarket Predicts Price Could Fall Below $60,000 This Month

Bitcoin (BTC) dipped to a low of $63,504 on Thursday even after the Federal Reserve hinted a potential rate cut in September is on the table.

Bitcoin (BTC) price dipped to a low of $63,504 on Thursday, even after the Federal Reserve hinted a potential rate cut in September is on the table.

However, the world’s largest cryptocurrency began the session with a 7.4% loss, dropping to $63,504. This move comes despite a promising session on Wednesday, where BTC price rallied to a highest level this week of $68,984.

A Polymarket poll with $57,000 in funding suggests that most participants believe Bitcoin will drop below $60,000 before September. Specifically, around 24% expect it to fall below $55,000, while 15% see it moving below $50,000.

Meanwhile, Bitcoin began showing signs of weakness on Thursday morning, with a 7.4% loss, dropping to $63,504. This move comes despite a promising session on Wednesday.

One possible reason for the sell-off is the rising geopolitical risks in the Middle East, which could cause inflation and push the Fed to delay its rate cuts. Oil prices have risen, with Brent and West Texas Intermediate hitting $82 and $79, respectively.

Another key macro catalyst for Bitcoin and other risk assets will be Friday’s non-farm payroll data. Jerome Powell stated on Wednesday that the Fed would watch these jobs to determine whether a rate cut is necessary in September.

The other potential reason to explain Bitcoin’s weakness has to do with the U.S. election and the possibility that Donald Trump won’t emerge victorious. According to Polymarket, while Trump still maintains a 55% lead, current Vice President and presidential candidate Kamala Harris has notably narrowed the gap.

Another poll by PredictIt has Harris leading with 53% followed by Trump’s 49%. More polls have shown that Harris has wiped out Trump’s lead across key battleground states in the past few days.

Trump is seen as the more crypto-friendly presidential candidate. In his speech at a crypto conference, he vowed to support the industry and to ensure that the government will not sell its Bitcoin holdings. Data shows that the government holds 213,246 coins, mostly from Silk Road.

For Polymarket’s Bitcoin forecast to play out, sellers will need to push the price below the key support at $63,460, its lowest swing on Thursday. This level is significant as BTC failed to drop below it on July 18, 19, and 25.

It is also the neckline of the triple-top pattern formed in July and the 38.2% Fibonacci Retracement point. Breaking this support would signal that bears have prevailed and increase the likelihood of BTC dropping to $60,000.