Bitcoin $BTC ( ▼ 3.94% ) is under pressure again, drifting toward the mid-$70,000s as traders continue to digest the aftershocks of the massive October 10 liquidation event. Analysts say the forced unwinding that rocked crypto markets months ago is still weighing on liquidity and sentiment today.
Even after several attempts to stabilize, the market is showing signs that confidence has not fully returned.
The Crash That Keeps on Giving
Market watchers point to the October selloff, when illiquid conditions on major exchanges triggered tens of billions in liquidations across crypto. That wave of forced selling drained liquidity and left the broader market struggling to regain its footing.
Since then, total crypto market value has shrunk dramatically, and bitcoin $BTC remains far below its prior highs. Recent volatility in traditional markets, including pullbacks in gold and silver, has added to the broader risk-off mood, with bitcoin feeling more of the downside than the upside.
Some analysts believe the intensity of the recent moves could mean the market is getting closer to a bottom, but they caution that conditions remain fragile.
Liquidations, Outflows, and Weak Momentum
In just the past day, hundreds of millions of dollars in crypto positions have been liquidated, with billions more wiped out over the past week. At the same time, bitcoin ETF flows have turned negative again, a sign that institutional demand is not yet stepping in to absorb the selling.
Technically, bitcoin has broken below several long-term trend indicators, suggesting momentum is still tilted to the downside.
Why $70,000 Matters So Much
Many analysts now see the $70,000 area as a crucial psychological and technical level. It sits near the prior cycle’s peak and represents a line in the sand for long-term holders.
If bitcoin $BTC can hold above that zone, the market may stabilize and build a base. A decisive break below it, however, could open the door to a deeper slide toward lower long-term support levels.
Longer term, some experts argue this is more about macro fear and liquidity stress than a collapse in bitcoin’s fundamental thesis. But in the short run, price action is being driven by positioning, forced selling, and whether buyers are willing to step back in around these key levels.