Bitcoin Price Drop 2025: BTC Falls Below $105K as $1.2 Billion Liquidations Hit Crypto Markets

💥 1. Bitcoin Price Drop 2025 Overview

The Bitcoin Price Drop 2025 shocked investors as BTC tumbled below $105,000, falling nearly 7% in 24 hours.
This sharp move erased billions in market value and triggered a massive $1.2 billion liquidation wave across global crypto exchanges.

According to CoinDesk, most of the wiped-out positions were leveraged longs, as overconfident traders were caught off guard by the speed of the sell-off.

Ethereum (ETH), Solana (SOL), and other major altcoins followed suit, falling 5–10% within hours.


⚠️ 2. What Triggered Bitcoin’s Sudden Fall

Analysts point to a combination of technical weakness and macroeconomic pressure as key causes.

  • Federal Reserve delay on rate cuts: The Fed’s recent statement hinted that interest rates may stay higher for longer, dampening risk appetite.
  • Overleveraged traders: Too many long positions piled up near resistance, leaving the market vulnerable to a liquidation cascade.
  • Profit-taking by large holders: On-chain data shows that long-term Bitcoin wallets sold over 400,000 BTC in the past two weeks.

All these factors combined to create a flash drop that shook even seasoned investors.


💣 3. Market-Wide Liquidations and Reactions

The sell-off led to one of the largest crypto liquidations in months:

  • Over $1.2 billion in total was liquidated across exchanges.
  • Around $650 million came from Bitcoin longs alone.
  • ETH and SOL traders saw $300 million in forced closures.

This wave of liquidations intensified the downward move, sending Bitcoin briefly below $104,800 before stabilizing near $105,200.

Despite the panic, trading volumes remain strong — a sign that institutional and retail participants are still active, albeit cautious.


📊 4. Technical Breakdown: Key Support Levels

Technically, the Bitcoin Price Drop 2025 represents a break below major support:

  • The 200-day moving average (~$109,800) was lost.
  • The next critical zone lies between $99,000 and $101,000.
  • If that fails, some analysts see potential downside targets around $94,000.

On the upside, a daily close above $108,000 would help restore market confidence and reduce selling pressure.

According to MarketWatch, a rebound above $110,000 could mark a return to short-term bullishness.

Bitcoin Price Drop 2025 – visual showing BTC falling below $105K with market liquidation indicators.

🏦 5. How Macro Conditions Are Impacting Crypto

Beyond charts, macroeconomic news continues to shape the Bitcoin market.

  • The U.S. dollar strengthened after the Fed’s hawkish tone.
  • Bond yields rose, drawing liquidity away from risk assets.
  • Traders anticipate a slower pace of global rate cuts, which could keep capital tied up in traditional markets.

Still, crypto remains resilient in the face of macro pressure — a sign that the asset class is maturing beyond retail speculation.


🧠 6. What Analysts Are Saying

Analysts are split on whether this marks the start of a deeper correction or just a healthy pullback in a long-term bull cycle.

“This move looks more like a cleansing event than a collapse,” said a senior analyst at CryptoQuant.
“Liquidations were overdue, and Bitcoin is still trading far above its 2024 averages.”

Others, like MarketWatch’s technical strategists, warn that failure to reclaim $105,000–$108,000 could lead to a drop toward $94,000 before any strong bounce.

In short — volatility is back, and traders should expect more swings ahead.


🔮 7. Final Thoughts

The Bitcoin Price Drop 2025 is a stark reminder that even in bullish markets, corrections can strike fast and hard.

While the sell-off triggered short-term panic, many long-term holders see this as a chance to accumulate before the next leg higher.
As one trader put it: “Same story, different year — strong hands buy when others panic.”

With crypto markets adjusting to new macro realities, one thing remains certain — Bitcoin’s volatility is both its challenge and its opportunity.

CoinDesk – $1B Crypto Liquidations as Bitcoin Falls

MarketWatch – Bitcoin May Head Toward $94K

Economic Times – Why Bitcoin Is Falling Today

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