‘Bears in control’: Bitcoin erases gains since 2021 all-time high as price drops back toward $69K

Bitcoin has dropped below the $70,000 threshold, wiping out all gains achieved since its late 2021 all-time high, with some exchanges recording lows near $69,040. This decline reflects a sharp deterioration in market structure, characterized by forced selling, weak spot demand, and reduced institutional support, pushing the price below key on-chain metrics like the "True Market Mean."

Derivatives markets amplified the move, leading to over $1 billion in long liquidations as leveraged positions were flushed out. Furthermore, institutional appetite has softened, evidenced by negative net flows across spot Bitcoin ETFs and corporate treasuries, putting strategies like MicroStrategy's holdings underwater. Analysts suggest the current phase is driven by broader deleveraging across risk assets and could represent a longer market reset, warning that any relief rallies may only be corrective without a sustained return of spot demand.

(Source：The Block)