Bitcoin faced a significant drop below $70,000, wiping out gains accumulated over the past 15 months. The market saw over $840 million in leveraged long positions liquidated during the downturn. Traders are now closely monitoring the $65,000 support level and the $72,000 resistance level for guidance.
Bitcoin experienced one of its most severe corrections in recent history, erasing approximately 15 months of bullish progress in a rapid and harsh sell-off.
The leading cryptocurrency briefly dipped below the psychologically significant $70,000 threshold, surprising traders accustomed to prolonged upward momentum.
The decline was not isolated, accompanied by substantial liquidations, declining sentiment, and visible strain across centralized exchanges.
What initially seemed like a routine pullback quickly escalated into a broader market reset for the entire crypto space.
Bitcoin price plummet erases 15 months of gains
The drop in Bitcoin’s price to the $69,000–$70,000 range marked its lowest point in around 15 months, effectively undoing much of the progress made during the previous bull run.
This downward trend pushed BTC back to price levels last seen before institutional inflows and ETF-driven optimism reshaped market expectations.
As the price fell below the critical support at $70,000, selling pressure intensified, leading to a rapid deterioration in short-term trader confidence.
The correction also dragged down major alternative coins, reinforcing the notion that this was a market-wide deleveraging event rather than solely a Bitcoin-driven movement.
From a market structure standpoint, the decline represented a significant break from the pattern of higher highs and higher lows that had characterized Bitcoin’s uptrend.
Liquidations hasten the downturn
One of the primary factors contributing to the crash was a substantial wave of forced liquidations across crypto derivatives markets.
Data from CoinGlass indicates that over $840 million worth of leveraged positions were wiped out in a short span, with long positions accounting for the majority of the losses.
As Bitcoin slipped below crucial price levels, automated liquidation mechanisms kicked in, amplifying the downward momentum.
This cascading effect transformed a controlled descent into a sharp plunge, catching overly leveraged traders off guard.
The liquidation-heavy nature of the drop suggests that market positioning rather than a single fundamental catalyst was the driving force behind the movement.
After months of heightened leverage and crowded long positions, the market finally reached a tipping point.
Huge Bitcoin outflows from exchanges
Simultaneously, on-chain data from CryptoQuant reveals significant Bitcoin outflows from major exchanges, particularly Binance.
A community-led withdrawal campaign contributed to a significant net outflow of BTC, briefly depleting exchange reserves.
In a recent statement, Binance publicly addressed speculation about these movements, refuting claims of financial instability and emphasizing that withdrawals were proceeding as usual.
The exchange also urged users to consider self-custody if they felt uncertain, underscoring the shifting trust dynamics within the market.
Despite the price decline, some analysts interpret sustained exchange outflows as an indication that long-term holders are not panicking and selling off their holdings.
This discrepancy between the behavior of short-term traders and the positioning of long-term investors introduces complexity to the current market narrative.
Bitcoin price prediction – key levels to watch in the upcoming days
In the days ahead, traders should pay close attention to several critical levels as Bitcoin seeks to stabilize following the sell-off.
The $70,000 range now serves as immediate support, with a breach below this level potentially pushing the price towards the $65,000 area, a significant support zone aligning with previous consolidation ranges.
A deeper breakdown could expose Bitcoin to a move towards the psychologically significant $60,000 level, where buyers may mount a stronger defense.
On the upside, a sustained recovery above $72,000 would indicate an easing of selling pressure.
Currently, volatility remains high, and traders are likely to exercise caution until Bitcoin establishes a clearer direction.
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