Bitcoin's price has recently fallen to approximately $94,000, largely influenced by a broader market decline following the Federal Reserve's decision to cut interest rates by 0.25%, bringing rates to between 4.25% and 4.5%.

This downturn has led to significant liquidations in the cryptocurrency market, with over $1.3 billion wiped out in the past 24 hours as Bitcoin dropped below the $100,000 mark.

The impact of this decline is reflected in major stock indices, which have also seen significant drops, with the S&P 500 down nearly 3%, the Dow Jones down 3.43%, and the Nasdaq Composite down 4.12% over the last five days.

Market analysts, including Rekt Capital, suggest that Bitcoin often undergoes major corrections after six to seven weeks of price discovery, indicating that a correction phase may be on the horizon.

Despite these bearish signals, analysts believe that the long-term bull run for Bitcoin is not over, although short-term trends may continue downward, with potential support levels identified at $90,000 and $85,000 if it falls below $96,000.

Currently, Bitcoin is trading down 7% at $94,730, yet the overall sentiment remains cautiously optimistic about its long-term value.

Notable figures in the cryptocurrency space, such as Justin Sun and the government of El Salvador, are making significant purchases, which indicates a level of confidence in Bitcoin's long-term prospects.

In a notable move, El Salvador recently purchased 11 Bitcoin worth over $1 million, expanding its Strategic Bitcoin Reserve after securing a $3.3 billion loan from the International Monetary Fund.

In light of the current market downturn, financial commentator Jim Cramer has advised investors to 'buy into the fear,' a sentiment that resonates with the rising mentions of 'buy the dip,' which have surged to an eight-month high.

The volatility in both stock and cryptocurrency markets has been exacerbated by Federal Reserve Chairman Jerome Powell's hints at fewer rate cuts than anticipated for 2025, contributing to market uncertainty.