Bitcoin (BTC) has slumped below the psychologically important $70,000 threshold, wiping out gains since its $69K record high registered in late 2021.
Market analysts see scope for further downside, with some ominously pointing to a potential test of sub-$60,000 levels if the corrective phase continues.
BTC Drops Toward $69K As Crypto Sell Off Worsens
Bitcoin has been whipsawing sharply this week, falling below $71,000 before rebounding and then crashing again as global risk appetite deteriorated.
The world’s largest and oldest cryptocurrency dropped to as low as $66,835, according to CoinGecko data, with sentiment plunging deeper into the “extreme fear” category. The Crypto Fear and Greed Index hovers at 11— a level reached only a few times in the past. The latest crash marks Bitcoin’s first trip to the $60,000 range since October 2024.
Total crypto liquidations over the last 24-hours have jumped to above $1.05 billion, with Bitcoin accounting for the lion’s share of that figure at $522 million, CoinGlass data shows.
The global crypto market cap has now dropped 6.3% on the day to $2.38 trillion after having peaked above $4.2 trillion last September.
Wading Institutional Support
Institutional appetite has also waned. Net inflows across spot Bitcoin exchange-traded funds (ETFs) and sovereign holdings have turned negative, eliminating a significant catalyst that previously buoyed an upward trend.
According to data from SoSoValue, investors yanked $545 million from BTC funds on Wednesday, pushing weekly flows into the red with $255 million in net withdrawals.
The downturn has left many high-profile Bitcoin treasury strategies under bearish pressure. Strategy, the world’s largest publicly traded corporate holder of Bitcoin, currently owns 713,502 BTC at an average purchase price of $76,052. With the BTC price hovering around $67,800, this represents an unrealized loss of a staggering $6.5 billion.
Notably, industry veterans remain unfazed by the dramatic Bitcoin correction.
“This drawdown feels horrible not because of the magnitude, but because it’s unfair. Everything goes up, but we’re sideways. AI bubble fears? We go down. Metals crash? We go down too,” long-time Bitcoin maxi Samson Mow said on X.
“However, absolute scarcity is real and it will hit a limit. We can’t be pushed down forever.”
Source: https://zycrypto.com/bitcoin-wipes-out-gains-since-2021-bull-market-high-as-btc-price-crashes-below-67k/
