Global Market Impact
- Bitcoin's price plummeted below $77,000** ($76,606 at lowest), triggering a $923 million** liquidation wave across crypto markets.
- 328,545 traders faced liquidations in 24 hours, with the largest single liquidation hitting $5.26 million on Bybit.
Exchange Liquidation Breakdown
| Rank | Exchange | Liquidation Share | Total Liquidations |
|---|---|---|---|
| 1 | Bybit | 36.94% | $934.2M |
| 2 | Binance | 26.96% | $588.5M |
| 3 | OKX | 14.21% | $295.4M |
👉 Why Bitcoin's volatility matters for traders
3 Drivers of the Crash
1. Institutional Withdrawals
- ETF outflows signaled weakening interest, with BlackRock and Grayscale reducing exposure.
- CoinShares reported $450M+ weekly outflows from Bitcoin products.
2. Options Market Turmoil
- $3B+ in BTC/ETH options expired recently, amplifying volatility.
- Bitcoin's implied volatility spiked 35.7% ahead of Fed meetings.
3. U.S. Stock Market Correlation
- Bitcoin's 88% price correlation with Nasdaq makes it vulnerable to equity selloffs.
- Rising Treasury yields further pressured risk assets like crypto.
FAQ: What Comes Next?
Q: Will Bitcoin recover?
A: Analysts suggest recovery depends on Fed policy shifts and renewed institutional inflows.
Q: How long might volatility last?
A: Until macroeconomic uncertainties (inflation, rates) stabilize – potentially months.
Q: Are altcoins safer during BTC crashes?
A: Historically no – 95% of altcoins follow Bitcoin's trend during major corrections.
👉 Essential tools for crypto risk management
Market Outlook
While short-term pressures persist, long-term adoption drivers (ETF inflows, institutional interest) remain intact. Traders should watch:
- Fed rate decisions
- BTC ETF flow reversals
- Tech stock performance
Data sources: CoinGlass, Farside Investors, Bitfinex Alpha