The Bitcoin price drop today saw BTC fall to a low of $83,814, down 6% amid a broader crypto market correction. Ethereum followed with an 8.65% decline to $2,733, driven by rising Japanese bond yields and over $1 billion in liquidations, erasing gains since April.
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Bitcoin support at risk: Trading below key EMAs signals bearish momentum, with potential further drop to $70,000 if breached.
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Ethereum faces stronger bearish indicators, with ADX at 43 pointing to sustained downward pressure.
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Market-wide liquidations hit nearly $1 billion, mostly long positions, pushing the Crypto Fear & Greed Index to 20, the lowest since early April.
Bitcoin price drop shakes crypto markets in 2025, with BTC and ETH tumbling amid global risk-off sentiment. Discover key technical signals and expert insights—stay informed on the latest crypto corrections today.
What is causing the Bitcoin price drop?
Bitcoin price drop stems from a combination of macroeconomic pressures and technical breakdowns. Rising Japanese 10-year bond yields to 1.84%—the highest since April 2008—triggered a risk-off cascade in Asian markets, with the Nikkei falling 3% and impacting high-risk assets like cryptocurrencies. Additionally, overleveraged positions led to nearly $1 billion in liquidations, predominantly long bets, amplifying the sell-off as the market cap dipped below $2.9 trillion.
How are technical indicators affecting Ethereum’s decline?
Ethereum’s price mirrors Bitcoin’s downturn but with intensified bearish signals, opening at $2,991 and closing around $2,733 after hitting a low of $2,716. The 50-day exponential moving average (EMA) remains below the 200-day EMA, confirming a short-term bearish trend, while Ethereum trades well under both, indicating seller dominance. The Average Directional Index (ADX) at 43—higher than Bitcoin’s 40—highlights powerful downward momentum, with readings above 40 signaling strong conviction in the trend. Supporting data from TradingView charts shows the Squeeze Momentum Indicator in bearish mode, suggesting limited upside potential without reclaiming key supports. Experts at financial analysis firm CryptoQuant note that such EMA crossovers historically precede prolonged corrections in altcoins like ETH, especially during global yield spikes.
Frequently Asked Questions
What support levels should Bitcoin holders watch during this price drop?
Bitcoin’s immediate support sits at $83,784 based on Fibonacci retracement levels from recent highs. If breached, the next major levels are $70,684—aligning with prior accumulation zones—and lower at $57,583. Historical volume data from platforms like TradingView indicates high buying interest around $70,000, potentially stabilizing prices if the current correction holds there without further breakdowns.
Is the current crypto market correction signaling a full winter?
The ongoing crypto market correction, with Bitcoin and Ethereum leading the declines, appears as a standard post-peak adjustment rather than an immediate crypto winter. Prediction markets like Myriad show 87% odds against a severe downturn meeting traditional winter criteria, such as sustained sub-$50,000 BTC levels. Traders anticipate stabilization, supported by fading liquidation pressures and stabilizing global yields.
Key Takeaways
- Macroeconomic triggers: Japan’s bond yield surge to 1.84% sparked a regional risk-off move, correlating with a 7.22% drop in total crypto market cap to $2.89 trillion.
- Liquidation impact: Over $900 million in long position wipes in the last 24 hours forced selling, pushing the Fear & Greed Index to 20 and erasing April gains.
- Prediction market insights: Odds favor Bitcoin avoiding $69,000 before $100,000, with Ethereum at 75% chance of hitting $2,500, urging caution but not panic selling.
Conclusion
The Bitcoin price drop and accompanying Ethereum decline underscore vulnerabilities in the crypto market to global financial shifts, including rising yields and leveraged excesses. As technical indicators like EMAs and ADX confirm bearish control, investors should monitor supports at $70,000 for BTC and $2,500 for ETH. With prediction markets betting against a prolonged winter, this correction may pave the way for renewed accumulation—position yourself wisely for potential rebounds in the evolving digital asset landscape.
Source: https://en.coinotag.com/bitcoin-dips-to-84k-amid-bearish-trends-and-rising-liquidation-fears
