Crypto traders got a brief breather after a brutal stretch. Bitcoin $BTC ( ▲ 5.11% ) clawed its way back above $68,000 on Friday morning after plunging to around $63,000 a day earlier, its lowest level since October 2024. Even with the bounce, the world’s largest cryptocurrency remains down roughly 46% from its all-time high in early October and just logged its sharpest two-week drop since mid-2022.
Under the surface, the damage was severe.
Leverage Gets Wiped Out
The latest leg down triggered a wave of forced selling. In the past 24 hours, crypto liquidations totaled about $2.42 billion, with Bitcoin alone accounting for $1.26 billion of that. Nearly $1 billion of those liquidations were long positions, meaning traders betting on higher prices were flushed out as the market fell.
Sentiment readings show just how rattled investors have become. CoinMarketCap’s Crypto Fear and Greed Index dropped to an all-time low of 5, firmly in “extreme fear” territory. That kind of reading often shows up near major stress points, when panic, not patience, is driving trades.
Key Levels Traders Are Watching
Market watchers say Bitcoin $BTC is now hovering near an important demand zone. Technical support is seen in the $62,000 to $60,000 range, while a sustained move back above roughly $71,000 to $73,000 would be needed to signal that buyers are truly stepping back in.
For now, analysts say the market is stuck digesting both macro uncertainty and the aftereffects of heavy leverage being unwound. That tends to lead to choppy, sideways trading rather than a clean, powerful trend in either direction.
ETFs Feel the Heat Too
The pain is not limited to spot markets. Bitcoin ETFs have been bleeding money, with about $434 million in outflows on Thursday alone. BlackRock’s iShares Bitcoin Trust $IBIT, which was nearing $100 billion in assets last October, has now fallen to roughly $48.7 billion.
Some market participants are even questioning whether Bitcoin will revisit six-figure prices in 2026. Others expect a longer cooling-off period, with the possibility of prices stabilizing closer to the $50,000 to $60,000 zone later this year if macro conditions stay tough.
For now, the bounce offers relief, but not a clear signal that the storm has fully passed.