Bitcoin is struggling to stay above its short-term holder cost basis of around $108,000. The price is facing downward pressure due to expected U.S. Treasury borrowing, which could reduce dollar liquidity. This squeeze might push Bitcoin’s price down toward $100,000, despite a favorable long-term macroeconomic outlook that includes a high chance of a September rate cut.
Meanwhile, analysts are watching to see how Ethereum (ETH) will react to Bitcoin’s potential dip. While some believe it could shine independently, others fear it will follow Bitcoin’s trend.
Despite this, Ethereum has strong long-term bullish catalysts. Analyst Tom Lee from Fundstrat maintains his bold $12,000 year-end target for ETH, citing its potential as a global settlement layer for stablecoins, its integration with AI, and the U.S. government’s Project Crypto initiative. Ethereum’s stablecoin supply recently hit a record high of $160 billion, and corporate data shows heavy ETH buying since June.
However, historical data suggests that September is typically a difficult month for Ethereum, with a history of flat or negative returns. The article highlights that while Q4 often sees strong rallies for ETH, the immediate period may involve more sideways trading or “chop” before any significant upward movement.
September 2025, Cryptoniteuae
