Bitcoin’s price took a sharp turn downward late Monday evening in European markets, with bearish momentum gaining the upper hand and pushing the cryptocurrency below the critical $67,000 threshold. This sudden 2.5% decline over the past 24 hours has cast a shadow on investor sentiment, as the market had been hopeful for a continued surge toward new all-time highs.
The price drop has triggered significant repercussions in the derivatives market, with total liquidations reaching approximately $200 million. Over $70 million in leveraged positions, mostly long trades, were liquidated within a four-hour window, wiping out optimistic bets from traders. This abrupt downturn has caused widespread concern across the crypto community, with many questioning whether the recent bullish momentum has officially come to a halt.
One prominent trader, known as Emperor on X, suggested that the worst may not be over yet. According to their analysis, Bitcoin could see a further decline to $62,000 before finding strong support. This prediction has added to the growing uncertainty, with investors unsure if Bitcoin can regain its upward trajectory or if the correction will deepen in the coming days.
A broader market correction is also evident, with red dominating the heatmap, signaling that most cryptocurrencies are experiencing losses. However, it's important to note that while the correction is widespread, the magnitude of the declines remains modest for the time being. Bitcoin’s price action is now at a pivotal point, and whether it resumes its climb toward a new all-time high or continues to retreat further remains a key focus for traders and analysts alike.
Despite the current setback, some remain optimistic that Bitcoin’s long-term outlook is intact, driven by macroeconomic factors such as growing institutional adoption and the upcoming halving event. For now, though, all eyes are on whether Bitcoin can reclaim the $67K level and continue its path toward another potential all-time high, or if further downward pressure will push it closer to the $62K range as predicted.
