Bitcoin Price Slumps on Weak Adoption and $940M Liquidations
Bitcoin price has struggled to sustain a rebound, trading near $110,000 after dipping to $108,760. On-chain metrics reveal weak network adoption, with daily active addresses falling below 692,000 and spot cumulative volume delta at –$199 million, signaling seller dominance. Technical indicators add to the bearish outlook: RSI nears the oversold zone and MACD remains negative. Crypto futures liquidations total $940 million in 24 hours, including $800 million from long positions and $320 million in Ether. Open interest in Bitcoin futures stays elevated near 740K BTC, while Ether futures and options OI hit multi-month highs. In NFTs, blue-chip collections fell over 10% weekly—Pudgy Penguins (–17%), BAYC (–14.7%), Doodles (–18.9%)—while CryptoPunks dropped just 1.35%, highlighting its defensive appeal.
Bearish
The news points to a bearish outlook for crypto trading. Weak on-chain activity and falling daily active addresses signal dwindling network adoption, mirroring past downturns when user engagement dropped sharply. Heavy futures liquidations totaling $940 million—especially $800 million from long positions—have intensified selling pressure, as seen in previous market corrections. Elevated open interest in Bitcoin futures suggests overleveraged positions prone to liquidation on further dips. NFT floor prices also slumped, reinforcing risk aversion across sectors. In the short term, traders may stay cautious or exit longs amid negative technical signals. Longer term, network health must improve and liquidations subside before a sustainable recovery can materialize.