Bitcoin Breaks Below $73,000, Triggering $750 Million in Marketwide Liquidations

US spot Bitcoin ETFs had been seen as a key channel for institutional inflows, but recorded combined net outflows of $4.06 billion in June, signaling waning risk appetite among large investors. Delayed interest-rate cuts by major central banks and market sentiment mired in extreme fear have added funding and macroeconomic pressure on crypto assets.

Bitcoin and Ether both plunged on the morning of July 1, with Bitcoin falling below $58,200 and nearing a two-week low. The decline set off cascading liquidations of leveraged positions, with long liquidations across the market reaching $249 million over the previous 24 hours. Traders betting on a rebound bore the brunt of the losses, while short-term volatility risk rose sharply.

Bitcoin has continued to retreat from its highs, with $62,000 emerging as a key support level for the market. The U.S. Bureau of Labor Statistics’ consumer price index (CPI) influences expectations for Federal Reserve rate cuts, which in turn affect dollar liquidity and valuations for risk assets including cryptocurrencies. That makes the U.S. inflation reading for May particularly important.

Bitcoin most recently fell below $62,000 and briefly approached $61,000. More than $426 million in positions were liquidated across the market over the past 24 hours, with long positions accounting for about 80%, while the Fear Index dropped to 12. U.S. core CPI subsequently rose 0.2% month on month in May, less than the market had feared, helping Bitcoin pare some losses. The $60,000 threshold nevertheless remains under pressure.

Bitcoin and the broader cryptocurrency market rely heavily on leveraged capital. When prices fall sharply, exchanges forcibly close positions with insufficient margin, amplifying the decline. The latest selling came ahead of the U.S. Federal Reserve’s interest-rate decision as risk aversion intensified. Consecutive net outflows from spot Bitcoin ETFs and MicroStrategy’s first Bitcoin sale also undermined investor confidence.

Bitcoin fell below $67,000 early on June 3 and briefly touched $66,316, pulling Ether, Solana, Dogecoin and other major cryptocurrencies lower. Marketwide liquidations reached $1.78 billion over 24 hours, with long positions accounting for about 90%. The concentrated unwinding of leveraged bullish bets sent market anxiety sharply higher.

Bitcoin has remained range-bound near recent lows amid outflows from US spot ETFs and the Federal Reserve’s higher-for-longer interest-rate policy. Risk appetite has cooled markedly, with the Fear and Greed Index falling to 29, indicating that investor sentiment has entered fear territory.

As of the latest report, Bitcoin had fallen below $74,000 and at one point traded weakly around $73,400. Crypto liquidations across the market reached $193 million over the past 24 hours, with short positions also squeezed. Markets will next focus on upcoming US CPI data and the Federal Reserve’s FOMC interest-rate decision.

Bitcoin’s volatility has rippled through the leveraged cryptocurrency market, with exchanges forcibly closing positions when sharp price swings leave traders with insufficient margin. Heavy Bitcoin purchases by enterprise software company MicroStrategy and favorable DeFi regulatory signals from the U.S. Securities and Exchange Commission have yet to reverse the market’s extreme fear.

The reports did not specify an exact date. Bitcoin recently climbed as high as $75,404 before retreating to $74,243, its lowest level in 14 days. About 174,000 traders were liquidated across the market over the previous 24 hours, with total liquidations reaching $438 million. Long positions suffered the heaviest losses during the selloff.

Bitcoin and Ether are the crypto market’s leading assets, and sharp price declines can trigger forced liquidations on exchanges, amplifying selling pressure. Bitcoin’s slide toward $76,000 and Ether’s drop below $2,100 show that funds have yet to flow back into crypto in tandem with the Dow Jones Industrial Average’s record high.

As of July 19, preliminary data showed $53 million in liquidations across the market over four hours, with long positions accounting for 85%. Bitcoin later fell as low as $75,500, liquidating 64,000 traders for a combined $214 million. In the latest selloff, Bitcoin again dropped below $76,000 and Ether retreated to $2,000, while four-hour liquidations exceeded $134 million.

Bitcoin is highly sensitive to the U.S. Federal Reserve’s interest-rate path. Although markets welcomed Fed chair nominee Kevin Warsh’s pro-crypto stance, they were more concerned about his hawkish views on curbing inflation and shrinking the balance sheet. Profit-taking by institutional investors added pressure on risk assets.

Between Jan. 31 and Feb. 1, Bitcoin briefly fell below $75,000 and traded as low as about $74,000, with cascading liquidations pushing total crypto-market liquidations above $2.5 billion. Markets are repricing the timing of Fed rate cuts, but on-chain data show that large whale addresses continue to accumulate spot Bitcoin at lower prices.

Bitcoin’s $80,000 threshold is widely viewed as a key psychological and technical support level. Iran’s rejection of a proposal to reopen the Strait of Hormuz heightened concerns over energy supplies and geopolitical risks. Meanwhile, divisions within the Federal Reserve over interest-rate cuts prompted investors to retreat from high-risk assets, including cryptocurrencies.

Bitcoin fell below $80,000 early on May 8, touching an intraday low of $79,625. The sharp decline triggered more than $316 million in bitcoin long liquidations across the market within 24 hours, while the Fear and Greed Index dropped 9 points overnight. BTC is holding above its medium-term moving average for now, but Ether (ETH) and altcoins have weakened markedly.

Bitcoin is a key bellwether for the crypto-asset market, and sharp price declines often trigger cascading liquidations of highly leveraged positions. Investors turned cautious ahead of the U.S. Federal Reserve’s Federal Open Market Committee meeting, while stalled U.S.-Iran negotiations further dampened risk appetite.

On the morning of April 28, Bitcoin fell as low as $76,460 and breached the $76,400 level. More than $338 million in positions were liquidated across the market over nearly 24 hours, affecting about 100,000 traders, with long positions accounting for more than 80% of the total. The Fear and Greed Index also dropped overnight to 33, returning to the fear range.

Bitcoin is highly sensitive to geopolitical developments. Risk appetite improved after U.S. President Donald Trump announced a Middle East ceasefire agreement, pushing the cryptocurrency above $72,000. However, U.S. tariff policy continued to weigh on market sentiment, preventing the rally from holding and exposing leveraged positions to the risk of a rapid reversal.

Bitcoin climbed as high as $72,500 before retreating to about $70,600, close to the $70,000 threshold. In the 24 hours before the report was published, roughly 80,000 traders were liquidated, with total liquidations reaching $276 million. The market remained in the extreme-fear zone, while some capital shifted toward high-beta assets including ZEC and AI-themed tokens.