Bitcoin drops toward $86,000 as 'lack of conviction' keeps a lid on crypto prices

Core Insights - Bitcoin (BTC) has experienced a significant decline, currently trading around $86,000, down approximately 8% year-to-date, and unable to surpass $94,000 recently [1][5] - The cryptocurrency market is facing skepticism regarding a year-end rally, with weak inflows into bitcoin exchange-traded funds limiting upward movement [1][2] - Analysts suggest that Bitcoin is likely to remain in a consolidation phase between $80,000 and $100,000 rather than entering a bullish trend [2] Market Dynamics - Trading volumes for Bitcoin have decreased by 20% week-over-week, indicating a lack of conviction and reduced speculative participation [2] - The Federal Reserve's recent rate cuts have influenced price movements, with Bitcoin briefly rising above $94,000 before falling back [3] - Analysts caution against chasing Bitcoin rallies, noting that recent buyers have a cost basis of around $103,000, leading to a tendency to sell when prices drop [4] Price Forecasts - Standard Chartered has revised its year-end Bitcoin price target down to $100,000 from $200,000, and its 2026 target to $150,000 from $300,000 [5]