Bitcoin plunged to $79,220 on Binance this Saturday, October 24, before rebounding to around $80,200. Donald Trump’s new threats against Iran and the evacuation of American personnel in the Middle East accompanied this fall. The crypto market recorded approximately $841 million in liquidations in 24 hours, including $697 million in bullish positions. Bitcoin also remains below its 50-day moving average.
In brief
- Bitcoin touched 79,220.74 USDT on Binance before returning to $80,000.
- Crypto liquidations reached $841 million in 24 hours, including 697 million long positions.
- U.S. Bitcoin ETFs saw $635.49 million in net outflows on Thursday.
Bitcoin drops to $79,220 before rebounding
Saturday was particularly hectic for Bitcoin. On Binance, BTC touched 79,220.74 USDT on the BTC/USDT pair, between 3 p.m. and 4 p.m. UTC. It then recovered some of its losses to return to around $80,200, a rebound of more than 1% from its low point.
A few days earlier, Bitcoin was still resisting despite more than a billion dollars entering ETFs in three sessions. The context changed on Friday. At a rally in Florida, Donald Trump raised the possibility of a new military operation against Iran, similar to the one carried out in February.
On Saturday, US authorities also began reducing staffing levels at several embassies in the Middle East. A US intelligence document warns that Iran has intensified its preparations for attacks against US nationals.
The markets had already started to react. The Dow Jones lost 652 points on Friday as geopolitical tensions and concerns over oil weighed on risky assets. Bitcoin also ended Friday below its 50-day moving average, located around $81,784 according to Bitcoin.com.
This technical line has been providing regular support since August. Saturday’s rebound allows BTC to return to $80,000. It nevertheless remains below its moving average.
Over $841 million in liquidations hit crypto
Traders using leverage suffered heavy losses. According to a statement CoinGlass published on October 24, 228,165 positions were liquidated in 24 hours, for a total amount of approximately $841 million in the crypto market.
Long positions concentrate most of the losses:
- $697 million in bullish positions, or 82.8% of the total.
- $144 million in bearish positions, or 17.2%.
Bitcoin accounts for approximately $234 million in liquidations. Ethereum follows with 183 million. The largest individual liquidation reported involved a $11.85 million long ETH/USDT position on Binance.
This data replaces the previous reading of $495.74 million released Saturday morning, before the decline accelerated. Institutional investors had already started to reduce their exposure. On Thursday, October 22, U.S. Bitcoin ETFs recorded $635.49 million in net outflows, their largest day of withdrawals since June 25.
BlackRock lost $254.05 million and Fidelity lost $217.46 million. Together, the two managers account for nearly 74% of withdrawals. The turnaround is quick. Between Monday and Wednesday, ETFs had attracted approximately $1.07 billion. A single session therefore erased almost 60% of these entries.
Bitcoin regains $80,000, but the Fed is approaching
The return above $80,000 brings a first respite to buyers. However, it is not enough to erase the latest losses. The 50-day moving average, near $81,784, now constitutes a first technical level to reconquer.
Analyst Benjamin Cowen is also watching $83,000. According to his scenario, a weekly close below this level could prolong the correction, particularly if oil tensions and inflation concerns persist.
The American calendar risks fueling volatility. The Federal Reserve will meet on October 27-28. The next day, the United States will publish the September PCE index, a measure of inflation particularly followed by the central bank.
A higher-than-expected figure could heighten concerns about interest rates. On-chain data offers other benchmarks. On October 21, Glassnode identified a significant support zone between $80,000 and $81,500. Bitcoin has just crossed this zone before returning to its lower threshold.
Lower, Glassnode places the real average cost price of the market around $77,500, then that of short-term holders around $74,600. These levels do not guarantee any rebound. For now, Bitcoin has returned to $80,000 after falling to $79,220. The 841 million dollars in liquidations nevertheless remind us of the violence of the movement. Between Iranian tensions, ETF outflows and the Fed’s decision, the next few sessions promise to be busy.
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