Bitcoin Tests $81,300 Support as Seoul Chip Sell-Off Triggers Crypto Liquidations
Bitcoin fell below $81,000 during Asian trading before recovering above $83,000 as a sell-off in South Korean technology stocks spread pressure across risk assets. The KOSPI dropped 5.46%, while foreign investors withdrew about $3.35 billion from South Korean equities. Higher oil prices, a strong US dollar and elevated Treasury yields added to the headwinds.
About $800 million in leveraged positions were liquidated in 24 hours, roughly 86% of them longs. The article also points to crypto-traded semiconductor exposure as a link between markets: tokenized SanDisk perpetual futures saw $19.09 million in liquidations, more than XRP’s $18.8 million. After Bitcoin reclaimed $83,000, short positions made up most of the subsequent liquidations, suggesting market positioning had shifted.
Bitcoin’s next key support is identified at $81,300. A break could expose $80,000 and then $77,400. The $84,340 average cost basis for spot Bitcoin ETF holders is a key resistance level, while $87,145 is another ceiling. Traders are also watching September US CPI, forecast at 3.7% annually, for clues about inflation and potential Federal Reserve rate hikes. Bitcoin ETF outflows stopped after a $681.1 million weekly loss, while Ether funds recorded nine consecutive sessions of redemptions totaling $697.2 million.
Bearish
The immediate backdrop is bearish for crypto trading. A sharp Korean technology-stock sell-off, rising oil prices, a strong dollar and high Treasury yields are all weighing on risk appetite. The roughly $800 million liquidation wave, dominated initially by Bitcoin longs, shows how leverage can amplify a cross-market shock. Crypto-traded semiconductor contracts add another route for equity-market stress to trigger liquidations across crypto venues.
There are short-term signs of resilience: Bitcoin recovered above $83,000, and the subsequent liquidations were mostly shorts, indicating that positioning may have become less one-sided. That could support a rebound if Bitcoin holds $81,300. However, a break below that level could prompt further selling toward $80,000 or $77,400. The $84,340 ETF-holder cost basis and $87,145 resistance may limit upside unless buyers return.
The inflation release is a key catalyst. A hotter-than-expected CPI could strengthen expectations of further Federal Reserve rate increases, putting additional pressure on Bitcoin and other risk assets. A softer reading could ease macro concerns and help BTC retest resistance. Similar episodes in which equity volatility and forced crypto liquidations coincide have often produced sharp, fast moves in both directions. Longer term, ETF flows, monetary policy and the growing use of crypto venues for leveraged exposure to traditional assets will be important to market stability. The bearish rating reflects near-term macro and liquidation risks, not certainty about Bitcoin’s longer-term direction.