Here is the latest information about Bitcoin (BTC):
On January 9, 2025, the price of Bitcoin experienced a significant drop, reaching a low of below US$95,000. This drop occurred after Bitcoin had previously fallen by 5% the previous day.
The price drop was influenced by stronger-than-expected US economic data, which caused US bond yields to increase. In addition, a report from the Institute for Supply Management (ISM) showed that the US service sector was stronger than anticipated, with the prices paid index reaching its highest point since early 2023. This raised concerns that the Federal Reserve might delay interest rate cuts, which would negatively impact risk assets such as Bitcoin.
In addition, there was a liquidation of $560 million in Bitcoin long positions, further depressing the price. This liquidation occurred when exchanges forcibly closed leveraged positions of traders due to the inability to meet margin requirements, creating a cycle of continued price declines.
However, some analysts remain optimistic about Bitcoin's long-term prospects, given the potential for wider adoption and more supportive regulatory developments in the future.
*Note: The cryptocurrency market is highly volatile. It is always advisable to conduct thorough research before making any investment decisions.*