$BTC
Bitcoin just faced one of its sharpest sell-offs in months — crashing over 40% and dropping below the $60,000 mark. The price is now down more than 50% from its all-time high.
What triggered this meltdown?
Leverage Unwinds in Asia
Major hedge funds in Hong Kong piled into leveraged bets, expecting Bitcoin’s rally to continue. They borrowed low-interest Japanese yen to fuel those positions. But when BTC lost momentum and borrowing costs spiked, the trades collapsed — triggering massive liquidations and a cascading wave of sell-offs.
Banks Became Forced Sellers
When Bitcoin broke through critical support levels, banks connected to Bitcoin ETF products were compelled to offload holdings. Each leg lower triggered even more selling, draining liquidity from the market and fueling a full-blown wave of panic.
Miners Are Cracking
Bitcoin’s price is hovering dangerously close to miners’ break-even levels. Many have started offloading their BTC holdings, while others are shutting down rigs and shifting toward AI data center operations. If the decline deepens, a full-scale miner capitulation could follow.
