Bitcoin Dips Below $87K: One Week’s Gains Gone in One Candle

Bitcoin experienced a sharp selloff, briefly plunging below $87,000 and wiping out the previous week's gains in a single session. This rapid downturn caused $400 million in leveraged long positions to be liquidated within one hour, pushing the global crypto market cap down 4% to $3.04 trillion. Analysts attributed the crash to thin weekend liquidity and record-high leverage, emphasizing that the move occurred without specific news and suggesting the bear market remains structural rather than fundamentally driven. Some analysts drew parallels to the April 2024 price action, warning that a drop below the $80,000 support level could lead to further significant corrections, potentially as low as $48,000. Concurrently, sentiment was shaped by an asset rotation narrative, where capital appeared to flow from speculative digital assets like Bitcoin into traditional safe-haven assets like silver, although Bitcoin's 57.1% market dominance suggests it still captures the majority of digital asset flows.

(Source：BeInCrypto)