As macroeconomic storm clouds gather, Bitcoin has taken a brutal beating. The world’s largest cryptocurrency plunged below $80,000, marking a three-month low and a staggering 25% decline from its all-time high of $107,339. In just 24 hours, BTC tumbled 6.6% to $80,185, leaving devastation in its wake. So much for digital gold.
The bloodbath wasn’t limited to Bitcoin. Altcoins got absolutely hammered, with Dogecoin leading the carnage among top 10 coins, nosediving 12.8%. XRP dropped 7.9%, while Solana investors watched in horror as their holdings melted away. Pi Network (PI) took the worst beating, crashing a jaw-dropping 21.66%. Seems like these “alternatives” weren’t so alternative after all.
Behind the massacre? Trump’s tariff announcements on Mexico and Canada sent tremors through markets. Rising U.S. Treasury yields punished risk assets, while weak economic indicators had investors running for the exits. The Fed’s next move remains anybody’s guess. Geopolitical tensions didn’t help either.
The liquidation numbers are enough to make anyone sick. Over $1.48 billion wiped out, with $1.37 billion from long positions alone. Nearly 200,000 traders got their accounts blown up. Bitcoin longs saw $134 million vanish, while Ethereum bulls lost $88.13 million. Despite the carnage, strategic investors view this crash as a potential opportunity to accumulate discounted assets. Ouch.
Technically speaking, it’s ugly. A double-top pattern screams bearish reversal, with support around $73,725 looking shaky at best. The RSI dropped from 70 to 55, and the MACD crossed bearishly. The 50-day moving average sits at $62,000 – a long way down.
Market sentiment flipped faster than a politician during election season. The Fear and Greed Index plummeted from 60 (Greed) to 45 (Fear). Panic selling intensified the downward spiral as investors rushed to salvage what they could. The cascading effect of selling created a vicious cycle that further eroded investor confidence. As a standard measure, Bitcoin’s market cap calculation shows the true magnitude of value evaporation across the cryptocurrency ecosystem.
Interestingly, on-chain metrics show 10,000 BTC moved off exchanges in an hour, and active addresses increased from 800,000 to 950,000. Someone’s buying the dip. Brave souls or future bag holders? Only time will tell.
