Over $1 billion in liquidations: Why is Bitcoin down today?

Bitcoin fell below $104,000, marking a 3.6% drop in 24 hours, driven by macroeconomic factors and market structure pressures. The primary catalyst was a strengthening US Dollar Index (DXY), which neared a three-month high, as investors favor dollar-denominated assets over non-yielding Bitcoin when yields are positive. This was compounded by defensive positioning ahead of crucial US economic data releases, including nonfarm payrolls, which will influence Federal Reserve policy expectations. Furthermore, structural support was weakened by $1.15 billion in cumulative US spot Bitcoin ETF outflows during late October, adding selling pressure as November began. This decline was accelerated by nearly $1.15 billion in long position liquidations across derivatives markets, creating forced selling that reinforced downward momentum across spot and futures markets.

(Source：CryptoSlate)