Bitcoin (BTC) has retracted significantly from its weekly high of $94,000, currently stabilizing near the critical $91,000 support level as global markets brace for a turbulent end to the week. The Bitcoin price dip comes as traders adopt a risk-averse stance ahead of two major macroeconomic events scheduled for Friday: the release of the U.S. Non-Farm Payrolls (NFP) report and a landmark Supreme Court ruling on global tariffs. With institutional liquidity drying up and crypto market volatility on the rise, the digital asset landscape faces a pivotal 48 hours.

Bitcoin ETF Outflows Signal Institutional Caution

The immediate catalyst for the current sell-off appears to be a sharp reversal in institutional sentiment. After starting 2026 with strong inflows, U.S. spot Bitcoin ETFs witnessed a dramatic exodus of capital this week. On January 7 alone, the market recorded nearly $487 million in net outflows, a stark contrast to the bullish momentum seen just days prior.

Data indicates that major players like Fidelity’s FBTC and even BlackRock’s IBIT experienced significant withdrawals, suggesting that large-scale asset managers are de-risking their portfolios. This massive wave of Bitcoin ETF outflows has placed heavy downward pressure on spot prices, forcing BTC to test its liquidity zones around $90,000. Market analysts interpret this as a strategic "wait-and-see" approach rather than a long-term bearish pivot, with institutions hesitant to hold exposure through the impending volatility of Friday’s economic data.

All Eyes on US Jobs Data and Fed Implications

Macroeconomic uncertainty remains the primary driver of the current crypto market volatility. Investors are squarely focused on the upcoming US jobs data crypto impact, specifically the January Non-Farm Payrolls report due this Friday. Following a mixed bag of economic signals earlier in the week, the NFP release will be decisive for Federal Reserve policy expectations in Q1 2026.

A stronger-than-expected jobs report could dampen hopes for aggressive rate cuts, potentially strengthening the dollar and weighing further on risk assets like Bitcoin. Conversely, signs of a cooling labor market might reignite liquidity fueled by rate-cut bets. "The market is currently pricing in a binary outcome," notes a senior market strategist. "Until we see the NFP numbers, $91,000 is acting as a tenuous floor for Bitcoin."

Supreme Court Decision: The Global Tariff Ruling Wildcard

Adding a unique layer of complexity to this week’s price action is the pending U.S. Supreme Court decision regarding the administration's use of emergency powers for trade tariffs. This global tariff ruling, expected on Friday, challenges the legality of sweeping duties imposed under the International Emergency Economic Powers Act (IEEPA).

Prediction markets currently assign a low probability to the government winning the case, which could mean an immediate dismantling of certain trade barriers. While a ruling against the tariffs could boost global trade sentiment, the uncertainty surrounding the decision has created a "risk-off" environment. For Bitcoin, which often functions as a hedge against fiat instability and trade friction, the removal of these tariffs could temporarily alter its macro narrative. Traders are hedging against the potential chaos of a surprise ruling, contributing to the current BTC support level tests.

Technical Outlook: Defending the $90K Fortress

From a technical perspective, Bitcoin is sitting at a make-or-break juncture. The $90,000 to $91,000 zone represents a psychological and structural fortification. A decisive break below this level could open the floodgates for a retest of the mid-$80,000s. However, bulls are defending this area vigorously, viewing the dip as a consolidation phase within the broader 2026 uptrend.

Order book data shows a cluster of bid walls just below $90,500, suggesting strong demand awaits if the price slips further. However, with the dual headwinds of the US jobs data and the tariff ruling looming, technicals may take a backseat to headline-driven momentum in the short term. Investors are advised to watch for high volatility closing out the week.