Bitcoin fell below $73,000, marking its lowest level since November 2014, amid a wave of selling that triggered massive liquidations in leveraged positions and weakened the overall crypto market.
Bitcoin reached intraday lows below $72,500, levels not seen in over a year. The drop highlighted the prevailing bearish pressure, even after a brief technical rebound above $76,000. The correction wasn’t limited to Bitcoin, as the leading asset’s pullback occurred amidst pressure on other risk markets as well.
One of the most notable examples was precious metals, which gave up recent gains, and US stock markets opened lower, reflecting a broader risk aversion among investors.
Data from analytics platforms shows that the price decline was accompanied by a large sell-off of leveraged positions, with indications of over $800 million in total cryptocurrency liquidations in a 24-hour period. This suggests that numerous long traders were forced to close their positions following the downward move.
From a technical perspective, the loss of key support levels and the increase in selling volume indicate that market sentiment remains bearish. Some analysts point out that if Bitcoin closes consistently below $74,000 per BTC, it is likely to seek even lower levels in the medium term.
Why is Bitcoin still falling? How low can it go?
Market participants attributed the decline to a broader risk-aversion trend across markets and structurally reduced liquidity rather than a single cryptocurrency-specific event. Some analysts see a potential short-term support level near $70,000.
Some market data suggests that Bitcoin is simply preparing for a strong rebound, potentially propelling it back towards the highs it reached just a few months ago. Meanwhile, some analysts have a much more pessimistic outlook, predicting a drop towards $40,000 within 6 to 8 months.
For traders and fund managers, the episode highlighted several operational points, including the heightened risk of funding and forced liquidations in futures, the importance of monitoring open interest, and the put-call bias as hedging flows adjust.
Looking ahead, participants will be watching how ETF flows, macro headlines, and scheduled market openings interact with open interest and funding—factors that will likely determine whether the move stabilizes or transitions into a broader corrective phase.
Risk managers should prepare for high volatility and maintain explicit stop-loss and hedging disciplines while liquidity remains limited.
