After several weeks of mounting pressure, Bitcoin’s [BTC] The latest crisis pushed the market into a new wave of forced sales. The decline accelerated after the price lost the $70,607 support level, a zone that previously supported multiple recovery attempts.
Once that bottom gave way, leveraged long positions became increasingly vulnerable, allowing liquidations to reinforce downward momentum.
That process fed quickly. Massive liquidations have occurred in the markets over the past 24 hours, with total losses reaching $1.84 billion.
Bitcoin alone was responsible for $883.79 million of these liquidations, underscoring the extent of the market’s bullish positioning.
The result is that the market is entering a critical zone. If buyers defend the $65,000-$66,000 region, a rebound could occur. Otherwise, continued selling could keep volatility high before stronger demand returns.
Extreme Fear Returns to Bitcoin
As Bitcoin’s downturn deepened, sentiment on social media deteriorated sharply. Negative commentary began to overtake the bullish discussion, pushing the ratio of positive to negative sentiment below 1.0 and into extreme fear territory.
This shift emerged as selling pressure increased and bearish expectations spread across the market. As a result, many traders are now expecting a move below $60,000 or even $50,000.
That pessimism can send a contradictory signal. Historically, periods when bearish commentary overwhelms bullish sentiment often coincide with retail capitulation rather than the start of a new downtrend.
If fear continues to spike while selling pressure subsides, Bitcoin could become vulnerable to a relief rally.
Retail buys while whales sell
While Bitcoin fell about 13% over the past week, the behavior of large holders has increasingly determined the direction of the market. Wallets holding between 10 and 10,000 BTC reduced their balances by 24,602 BTC.
This move suggested that whales and sharks were actively spreading the supply in weakness rather than absorbing it.
That selling pressure coincided with Bitcoin’s decline towards the $66,900 region, reinforcing the influence that large holders continue to exert on near-term price movements.
Meanwhile, smaller wallets holding less than 0.01 BTC collected 61 BTC during the same period.
This difference matters because retail participants often buy when prices are falling, while larger investors control liquidity. If whale sales start to slow and the accumulation of large keepers returns, the downward pressure could ease.
Until then, Bitcoin may struggle to make a sustainable recovery.
Final summary
- Bitcoin lost a major support level as $1.84 billion in liquidations accelerated downward pressure on the market.
- BTC now faces a critical test as extreme fear and whale selling collide near the $65,000-$66,000 demand zone.