A sharp decline was recorded in the cryptocurrency market on Friday, with the value of Bitcoin, the world's largest digital currency, falling below the $100,000 level.
Crypto Market Crash: A selling sentiment is once again visible in the cryptocurrency market. Bitcoin, the world's largest digital currency, fell below $100,000 on Friday, deepening the downturn in the crypto market. Since the beginning of October, Bitcoin's market value has dropped to less than $450 billion.
Analysts state that due to heavy spot selling, weak ETF flows, and widespread fear in the global market, the digital asset has slipped to $97,956. Many investors believe that the crypto market is in turmoil amid weakening expectations of interest rate cuts by the US Federal Reserve.
Bitcoin's Status and Reasons for Decline
Bitcoin slipped to $97,956 on Friday. Experts state that there are several reasons behind this:
- Heavy Spot Selling – Investors rapidly began selling their crypto assets.
- Weak ETF Flow – On November 13, spot Bitcoin ETFs saw $278 million in outflows, further increasing market pressure.
- Global Economic Uncertainty and Fed Reserve Policy – Investors distanced themselves from crypto due to diminishing expectations of interest rate cuts by the US Federal Reserve.
Experts reported that long-term holders sold 815,000 Bitcoins worth approximately $79 billion. This was the largest sell-off by long-term holders since January 2024. Their share decreased from 76% to 70% in one month.
Record Drop in Prices
On November 14, Bitcoin's price dropped to $97,067. A month prior, Bitcoin's record high was $126,000. This represented a decline of approximately 23%. However, Bitcoin has managed to maintain a gain of about 5% this year. Despite this, investors are concerned as the support level has fallen below $105,000.
On November 14, over $553 million in crypto positions were liquidated in the crypto market. This included $273 million in BTC long positions. Additionally, BTC options worth $4.04 billion expired, adding further pressure to the market. Funding rates remain negative at -0.0038%, indicating an increase in short positions. Furthermore, a liquidity pocket has formed below $99,000, signaling potential further declines.
