Bitcoin Falls Below $70K as $1.46B Liquidations, Whale Selling Drive Sharp Drop
Bitcoin slid below $70,000 — the first time since 2024 — amid rushed selling, thin liquidity and mass liquidations. Around $1.46 billion of positions were liquidated in 24 hours, mostly long positions, while ETH, SOL, XRP and BNB fell between about 7% and 30% (ETH breached $2,000). On-chain data showed large transfers of BTC from big wallets to exchanges during the drop, indicating whale selling added supply into a fragile market. Traders are watching three key signals for stabilization: a slowdown in forced selling and liquidations, reduced BTC inflows from large wallets to exchanges, and steadier spot demand from buyers/ETFs. Additional items of interest: Sberbank plans crypto-backed loans for corporates; Vitalik Buterin questioned Layer-2s’ role in scaling; the US Treasury confirmed it’s holding seized BTC but isn’t directing purchases; Bitnomial launched US dollar–priced Tezos futures; and the CFTC dropped a ban on event-based markets. For traders, the immediate focus is whether selling pressure exhausts — if liquidation flow and whale exchange inflows subside, price may stabilize and present shorter-term buying opportunities; continued heavy selling and negative funding would widen downside risk.
Bearish
The article describes a rapid, liquidity-driven sell-off in which $1.46B of mostly long positions were liquidated, BTC slipped below a key psychological support at $70K, and on-chain flows showed large BTC transfers from whales to exchanges. These elements together point to immediate downside pressure: forced liquidations amplify price moves, thin order books increase slippage, and whale selling adds supply at the worst moment. Historically, similar events (e.g., 2020–2021 and 2022 sharp deleveraging episodes) produced accelerated declines while liquidations persisted; prices only stabilized once liquidation volumes and exchange inflows subsided and spot demand returned. Short-term implication: elevated volatility, wider bid-ask spreads, and heightened risk of further downside until funding rates normalize and exchange inflows drop. Traders should reduce leverage, watch funding rates, liquidation metrics, and large-wallet inflows, and use size-limited entries or limit orders if attempting to buy. Longer-term implication: if selling exhausts and institutional spot demand (ETFs, custody buyers) remains steady, this could be a reset rather than structural trend change; however, repeated waves of leverage-driven selling would sustain a bearish outlook. Given present indicators (heavy liquidations + whale-to-exchange flows + breached support), the immediate market impact is bearish.