Bitcoin Crashes Below $67K: Sell-Off Heats Up as Doubts Grow Over Its Role as Digital Gold
Bitcoin Crashes Below $67K: Sell-Off Heats Up as Doubts Grow Over Its Role as Digital Gold
Bitcoin has taken a sharp hit, falling
The crypto market is in a rough spot. Bitcoin hit a low of $67,675, the lowest since late 2024. It broke under $70,000 during the day, and selling picked up fast. This week alone, Bitcoin is down 20%. Over the past year, it’s lost nearly 30% of its value.
What Sparked This Latest Bitcoin Sell-Off?
The sell-off ties to big changes in how people see Bitcoin. Many hoped it would protect against inflation and big economic problems, like a better choice than gold or regular money. But lately, that idea has not held up.
Bitcoin peaked above $126,000 in early October. Since then, it has fallen more than 45%. Investors are pulling back as Bitcoin moves like risky stocks, not a safe haven. During troubles in places like Venezuela, the Middle East, and Europe, it dropped with stocks instead of rising.
Real-world use for buying things is still low. This makes people question if Bitcoin can deliver on its big promises.
Bitcoin vs. Gold: A Clear Loser Emerges
Gold tells a different story. While
Gold stays steady in hard times. Bitcoin, on the other hand, swings wild with tech stocks and other high-risk bets. The State Street Technology ETF fell 2.8% on Wednesday after a 2.2% drop the day before. Precious metals like silver are volatile too, but gold holds stronger pressure.
Altcoins Feel the Pain Too
It’s not just Bitcoin. Other cryptos are crashing hard:
- Ether down 23% this week, worst since late 2022.
- Solana at $88.42, a two-year low, off 24% weekly.
- XRP and others down even more from recent highs.
The whole market is red, with over $2 billion in trades wiped out this week from forced sales, per market data trackers.
Expert Views: Pessimism Builds
Top analysts see warning signs. A bank expert noted steady selling means traditional investors are stepping away. Pessimism about crypto’s future is rising.
James Butterfill from Coinshares calls $70,000 a key mind level. If it breaks, expect a slide to $60,000-$65,000.
Institutional money, once a big buyer, is now selling. ETFs that bought thousands of Bitcoin last year are net sellers now. Data shows demand has flipped.
“Bitcoin isn’t riding hype anymore. It’s all about cash flows and liquidity now.” – A top digital assets CEO
Technical Breakdown: Breaking Key Levels
Bitcoin broke below its 365-day moving average, a trend line that smooths prices over a year. This first happened since early 2022. Since then, it’s down 23% in just 83 days – worse than past bear starts.
Moving averages help spot long-term trends by cutting noise from daily ups and downs. This break signals more downside, maybe to $60,000-$70,000.
Bitcoin has slid for over three months. No straight bull run like some hoped.
Why Institutions Are Dumping Bitcoin
Big players fueled past rallies. Now, they lead the exit. Reports show reversed demand. ETFs shifted from buyers to sellers. This lack of support adds weight to the drop.
Forced liquidations keep the pressure on. When prices hit stop levels, positions auto-sell, fueling cascades.
Broader Market Ties: Tech and Crypto Linked
The Bitcoin crash links to U.S. tech woes. As Nasdaq-linked funds drop, crypto follows. Risk-off mood hits both.
Geopolitical flares and macro worries make safe assets like gold shine, while Bitcoin suffers.
What’s Next? Key Levels to Watch
Traders eye $70,000 as support. A hold might slow the fall. A break opens $60,000-$65,000.
Longer term, this could be a reset. Past cycles show deep drops before rebounds. But fading hype means Bitcoin must prove utility – payments, adoption, or new uses.
Watch for fresh institutional buys or policy shifts. Until then, caution rules.
Lessons for Crypto Investors
This
Bitcoin still leads the market. A bottom could spark recovery. But doubts over its
Stay tuned as the crypto winter tests true believers.
