- Bitcoin price decline: BTC slipped below $100,000 to around $95,400, marking the third dip this month.
- Liquidations surge: Over $500 million in crypto positions liquidated in the past 24 hours, mostly long bets.
- Market drivers: Fading Fed rate cut odds, data delays from government shutdown, and increased selling from long-term holders.
Bitcoin has dipped below the $100,000 mark for the third time in November, trading as low as $98,842 amid a broader market pullback.
The leading cryptocurrency declined over 2% in the past 24 hours, according to data from CoinGecko, reflecting heightened volatility in the crypto sector.
Major altcoins also faced pressure, with Ethereum (ETH) dropping up to 8% to $3,265 and Solana (SOL) falling around 6% to $148, per market data.
The price action led to significant liquidations, totaling $501 million across the crypto market, including $165 million in Bitcoin positions alone. Long positions accounted for the majority, with $380 million wiped out.
Analysts attribute the downturn to several macroeconomic factors. The odds of a Federal Reserve rate cut in December have dropped from last week, following hawkish remarks from Fed Chair Jerome Powell, based on the FedWatch tool.
Government shutdown fallout has delayed key economic reports, such as October’s CPI data, adding to market uncertainty.
“Today was supposed to see the delayed release of the U.S. CPI report from October, but instead it appears the government shutdown has created a black hole in the flow of federal data,” said Nic Puckrin, co-founder and analyst at The Coin Bureau.
On-chain metrics show long-term holders have sold about 815,000 BTC in the past month, increasing selling pressure, according to Glassnode and CryptoQuant.
Spot Bitcoin ETFs continue to experience outflows, with $278 million exiting on Wednesday, further weakening demand.
“Institutional participation and whale activity have diminished, and ETF outflows continue,” noted Dilin Wu, research strategist at Pepperstone.
Despite the correction, some remain bullish. “Bitcoin is still in an uptrend because every pullback has produced a higher low,” said Joe DiPasquale, CEO of BitBull Capital.
JPMorgan analysts see support at $94,000, tied to rising mining costs, while maintaining a $170,000 year-end target.
The crypto slump aligns with broader risk-off sentiment, as the Nasdaq dropped 2% amid post-shutdown economic reassessments.
For comparison, similar market dynamics can impact other assets like UNI and DAI.
Disclaimer: This article is for informational purposes only and does not constitute advice of any kind. Readers should conduct their own research before making any decisions.
© Cryptopress. For informational purposes only, not offered as advice of any kind.
