Bitcoin returns under $90K as crypto market liquidates $150M in hours

Key Points

  • Bitcoin (BTC) dropped below $90,000, losing up to 5% on the day due to sell-side pressure from Wall Street's open and US trade tariffs.
  • Over $150 million in crypto liquidations occurred in just four hours, affecting late longs in the market.
  • Anticipation for a Trump "investment announcement" added a positive note amidst the market turmoil.
  • Traders and analysts are watching for potential higher lows in Bitcoin's price, which could signal a rally towards $100,000.

Summary

Bitcoin experienced a significant sell-off, dropping below $90,000 as the Wall Street open brought fresh sell-side pressure, influenced by US trade tariffs and anticipation of President Trump's decisions on tariffs against Canada. This led to over $150 million in crypto liquidations within hours, impacting late longs in the market. Despite the downturn, there was some optimism due to an expected "investment announcement" from Trump. Market analysts like QCP Capital suggested that Trump might take measures to prevent a prolonged stock market drawdown, hinting at potential market surprises. Bitcoin traders are now looking for signs of a higher low formation, which could propel the price towards $100,000. The market's volatility was also reflected in raised VIX levels, indicating broader unease in risk assets.

cointelegraph
March 4, 2025
Crypto
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