Vlad Hryniv

In the past 24 hours, $BTC has dropped by 4%, contributing to a major $99 billion market cap loss in the crypto space. The global crypto market now stands at $2.89 trillion. But what’s driving this sudden downturn? Let’s break it down. 👇

1️⃣ Uncertainty Over U.S. Government’s Bitcoin Plans 🇺🇸 Bitcoin initially surged to $92K after President Trump’s announcement about a U.S. Strategic Bitcoin Reserve. But the excitement quickly faded when it became clear that the executive order didn’t specify how the U.S. plans to acquire more BTC. The lack of clarity on the government’s Bitcoin strategy has left investors anxious. Experts like Peter Schiff warn that this uncertainty could hurt Bitcoin’s long-term growth. 🤔

2️⃣ Bitcoin ETFs Experience Heavy Outflows 📉 Bitcoin spot ETFs saw a massive outflow of $134.3 million, following a day of positive inflows. The largest outflows came from BlackRock’s iShares Bitcoin Trust (IBIT), Grayscale Bitcoin Trust (GBTC), and Franklin Templeton. Institutional investors seem to be pulling back, indicating strong selling pressure. 📊

3️⃣ Increasing Market Liquidations 💥 A total of $531 million in liquidations hit the market in the past 24 hours. Long traders were hit the hardest, with $398.3 million in losses. As long positions get wiped out, it creates more selling pressure, driving Bitcoin’s price even lower. 🚨

4️⃣ Struggling to Hold Key Support Levels 🔻 Bitcoin is battling to hold its key support level at $89,041. If it fails to reclaim this level, we might see a decline toward $85K or even $82.7K. However, if Bitcoin flips $90,800 into support, we could see a recovery toward $93,625. 📉🔧

Stay informed and keep an eye on these key levels. The market is volatile, and things can shift quickly! 💥

📊 WhiteBIT Chart: BTC/USDT (1D)