Bitcoin just plunged below $70,000, wiping out billions of dollars in a matter of hours. Between massive liquidations and geopolitical tensions, investors are wondering… Why this fall? Is it temporary or the beginning of a deeper decline?
In brief
- Bitcoin falls to $69,500 under the effect of record liquidations ($273 million) and extreme fear (Fear & Greed at 10).
- Geopolitical tensions (Iran, Israel, USA) are pushing investors to flee risky assets, aggravating selling pressure.
- The expiration of $14 billion in Bitcoin options tomorrow could increase volatility and compromise the $75,000 target.
Bitcoin at $69,500: A brutal fall that shakes the markets
Bitcoin fell 2.35%, falling below the symbolic $70,000 mark to reach $69,502. This decline is accompanied by a record liquidation volume of $273.09 million in 24 hours, reflecting intense selling pressure. Other cryptocurrencies follow the same trend, with Ethereum down 4.54%, Solana down 4.64%, and XRP down 3.16%.
Technical indicators show that bitcoin is now testing key support at $68,000. If this level gives way, a new wave of selling could take the market to lower levels. Additionally, trading volumes remain high, a sign of continued nervousness among traders. This fall is explained by:
- $273 million in positions liquidated in 24 hours, amplifying selling pressure;
- Fear & Greed at 10 (extreme fear), pushing investors to sell to limit their losses;
- Fears of escalation between Iran, Israel and the United States, prompting a flight from risky assets like BTC.
Expiration of $14 billion in Bitcoin options: an additional risk?
Tomorrow Friday, $14 billion worth of Bitcoin options expire, which could add to volatility. Indeed, these options, divided between call and put contracts, could exert additional pressure on the market if put holders decide to sell massively. Analysts are closely monitoring critical strike levels, particularly around $70,000 and $75,000.
To this end, if the price of bitcoin remains below these levels, call holders may not exercise their options, thus reducing buying pressure. Conversely, a drop below $68,000 could trigger a new wave of selling. In this context, the goal of $75,000 seems more and more distant. Investors will need to closely monitor market developments after these options expire.
Bitcoin is going through a critical period, marked by a brutal fall and the imminent expiration of $14 billion of options. As geopolitical tensions and investor fear dominate the market, the $75,000 target appears in jeopardy. Do you think BTC could rebound?
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