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Bitcoin erases 15 months of gains, falls below $70K amid $840M liquidations

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Bitcoin coins with a downward market trend visualised by a falling arrow and trading charts in the background.
Bitcoin coins with a downward market trend visualised by a falling arrow and trading charts in the background.
  • Bitcoin temporarily fell below $70,000, erasing gains built over the past 15 months.
  • Over $840 million in leveraged long positions were liquidated during the sell-off.
  • Traders now watch $65,000 support and $72,000 resistance for direction.

Bitcoin has suffered one of its sharpest corrections in recent years, wiping out roughly 15 months of bull market gains in a swift and brutal sell-off.

The world’s largest cryptocurrency temporarily plunged below the psychologically important $70,000 level, shocking traders who had grown accustomed to sustained upside momentum.

The move did not happen in isolation, as it was accompanied by heavy liquidations, weakening sentiment, and visible stress across centralised exchanges.

What initially appeared to be a routine pullback quickly evolved into a deeper reset for the broader crypto market.

Bitcoin price crash wipes out 15 months’ gains

Bitcoin’s drop to the $69,000–$70,000 range marked its lowest level in around 15 months, effectively erasing much of the progress made during the previous bull cycle.

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This decline pushed BTC back toward price zones last seen before institutional inflows and ETF-driven optimism reshaped market expectations.

As the price broke below the key support level at $70,000, selling pressure intensified, and confidence among short-term traders deteriorated rapidly.

The correction also dragged down major altcoins, reinforcing the idea that this was a market-wide deleveraging event rather than a Bitcoin-only move.

From a market structure perspective, the fall represented a decisive break from the higher-highs and higher-lows pattern that had defined Bitcoin’s uptrend.

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Liquidations accelerate the sell-off

One of the most significant drivers behind the crash was a massive wave of forced liquidations across crypto derivatives markets.

CoinGlass data shows that more than $840 million worth of leveraged positions were wiped out in a short period, with long positions accounting for the majority of losses.

As Bitcoin slipped below critical price thresholds, automated liquidation engines kicked in, amplifying downside momentum.

This cascade effect turned a controlled decline into a sharp flush, catching overleveraged traders off guard.

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The liquidation-heavy nature of the drop suggests the move was driven more by market positioning than by a single fundamental catalyst.

After months of elevated leverage and crowded long trades, the market finally reached a breaking point.

Massive Bitcoin outflows from exchanges

At the same time, on-chain data from CryptoQuant shows notable Bitcoin outflows from major exchanges, particularly Binance.

Net Bitcoin inflows
Bitcoin exchange netflow | Source: CryptoQuant

A community-driven withdrawal campaign contributed to a sharp net outflow of BTC, briefly reducing exchange reserves.

In recent press release, Binance publicly addressed speculation about these movements, denying claims of financial instability and emphasising that withdrawals were proceeding normally.

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The exchange also encouraged users to practice self-custody if they felt uncertain, which further highlighted shifting trust dynamics within the market.

Despite the price crash, some analysts view sustained exchange outflows as a sign that long-term holders are not panic-selling.

This divergence between short-term trader behaviour and longer-term investor positioning adds complexity to the current market narrative.

Bitcoin price forecast – what to look at in the coming days

Looking ahead, traders should closely watch several key levels as Bitcoin attempts to stabilise after the sell-off.

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The $70,000 zone now acts as immediate support, and a break below this level could push the price towards the $65,000 area, which stands out as a major support zone, as it aligns with previous consolidation ranges.

BTC price analysis
BTC price chart | Source: TradingView

A deeper breakdown could expose Bitcoin to a move toward the $60,000 psychological level, where buyers may attempt a stronger defence.

On the upside, a sustained recovery above $72,000 would be an early sign that selling pressure is easing.

For now, volatility remains elevated, and traders are likely to stay cautious until Bitcoin establishes a clearer direction.

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Crypto World

Stablecoins Do Not Threaten Banking Just Yet: Analyst

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Stablecoins Do Not Threaten Banking Just Yet: Analyst

The impact of stablecoins on the banking sector appears “limited” at the current phase of the adoption cycle, but banks could face increasing competition and an erosion of market share as the stablecoin sector and tokenized real-world assets (RWAs) grow in market capitalization. 

“So far, the use of stablecoins remains limited, but their market capitalization exceeded $300 billion at the end of last year,” Abhi Srivastava, associate vice president of Moody’s Investors Service Digital Economy Group, told Cointelegraph.

The stablecoin market cap has surged past $300 billion. Source: RWA.xyz

The role of stablecoins in payments, cross-border commerce and onchain finance is “expanding,” despite their currently limited role, Srivastava said, adding that existing payment systems in the US are already “fast, low-cost and trusted.” He said:

“For the banking sector, at this stage, disruption risk appears limited. In the near term, US rules that prohibit stablecoins from paying yield mean they are unlikely to replace traditional deposits at scale domestically.”

However, over time, growing adoption of stablecoins and tokenized RWAs, traditional or physical financial assets represented on a blockchain by a token, could place “pressure” on the banking sector, leading to deposit outflows and reduced lending capacity, he said.

Stablecoin regulatory policy has become a hot-button issue among crypto industry executives and those in the banking sector, with fears that yield-bearing stablecoins could erode banking market share proving to be a stumbling block for the CLARITY crypto market structure bill in Congress. 

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Related: Stablecoins behave like FX markets as liquidity splits: Eco CEO

CLARITY Act stalled, as banks fight yield-bearing stablecoins

The Digital Asset Market Clarity Act of 2025, also known as the CLARITY Act, is a comprehensive crypto market regulatory framework that establishes an asset taxonomy, regulatory jurisdiction and oversight over the crypto markets.

The CLARITY crypto market structure bill. Source: US Congress

It is now stalled in Congress after a group of crypto industry companies, led by cryptocurrency exchange Coinbase, publicly stated opposition to earlier drafts of the bill.

A lack of legal protections for open-source software developers and a prohibition on yield-bearing stablecoins were among some of the most contentious issues cited by crypto industry opponents of the legislation.

Several attempts have been made by US lawmakers and the White House to negotiate a bill acceptable to both the crypto industry and the bank lobby.

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Earlier this month, North Carolina Senator Thom Tillis said he plans to release an updated draft bill proposal that would be acceptable to both sides; however, the bill has reportedly received pushback, according to Politico, and has yet to be publicly released. 

However, other crypto industry executives and market analysts have warned that if the CLARITY Act fails to pass, it could open the crypto industry up to future regulatory crackdowns by hostile lawmakers and officials.

Magazine: Stablecoins will see explosive growth in 2025 as world embraces asset class