Bitcoin Dips Below Key Support at $73K Amid Holder Panic
Bitcoin's value has plunged to $73,000, marking a significant downturn as short-term investors react to market pressures.
Bitcoin prices have recently dropped to approximately $73,000, marking its lowest point since November 2024. This drastic decline is attributed to widespread panic selling among short-term holders, pushing the asset further into bear market territory by falling under the April 2025 support level of $74,500.
“Negative momentum is currently extreme as the bear market persists following the October 10 flash crash,” reported Swissblock.
In the past few weeks, Bitcoin crashed by 25%, and it is now down 40% from its all-time high.
“Bitcoin has now crashed over $53,000 in the last 120 days,” noted analyst Bull Theory, who further commented:
“Either this is an insane level of manipulation or something huge has broken behind the scenes in crypto.”
Geopolitical tensions have escalated once again, particularly regarding Iran’s intentions to reformulate negotiations on nuclear discussions with the United States.
Capitulation Among Short-Time Holders Adds to Selling Pressure
“Short-term holders have been capitulating over the past few days,” mentioned Darkfost, an analyst from CryptoQuant. More than 40,000 BTC have entered exchanges at a loss in just the last day.
“This potential selling pressure appears to have impacted the market today. When large amounts of BTC are sent to exchanges, it is mainly for selling purposes.”
🔴 Short-Term Holders capitulated over the past few days, where in just 24 hours, over 40,000 BTC were sent to exchanges at a loss; at current market prices, this accounts for roughly $4 billion.
Recent figures revealed by Santiment highlight that wallets containing 10 to 10,000 BTC, which control about two-thirds of all Bitcoin, have disposed of 50,181 units within the previous two weeks.
Total Market Capitalization Reaches a Nine-Month Low
As of the latest updates, Bitcoin rebounded slightly to $76,500, but the overall cryptocurrency market seems to be in turmoil, with total market capitalization dropping to a nine-month low of $2.64 trillion. Meanwhile, Ether has also seen a decline, dipping to $2,120 before experiencing a minor recovery.
Although the situation appears grim, analysts like Sykodelic are optimistic, suggesting that this decline below the $74K threshold could serve as a springboard for future growth:
“Taking the lows, losing $74K temporarily, pushing everyone over the edge, even the most staunch of bulls… baiting a massive bear trap.”
