Bitcoin remains the clear driver of the current crypto market sell-off after falling below the $67,000 level, a move that has intensified bearish sentiment and triggered heavy deleveraging across the market.
Key Takeaways
- Bitcoin slipped below $67,000 and is down over 20% on the week, with $65,000 now the key support level to watch.
- The sell-off triggered more than $1.4 billion in liquidations, with long positions accounting for the bulk of the losses.
- Altcoins followed Bitcoin lower, with Ethereum, Solana, XRP, and BNB posting larger weekly declines as risk appetite collapsed.
The breakdown has reinforced the view that the market is still firmly in a bear phase, with Bitcoin’s weakness dictating direction for both major altcoins and derivatives activity.
At the time of writing, Bitcoin is trading around $67,500, down nearly 4% on the day and more than 20% over the past seven days. Despite the sharp decline, Bitcoin is now considered heavily oversold, with momentum indicators stretched after weeks of persistent selling and failed recovery attempts.
$65,000 Stands Out as a Key Bitcoin Support
From a technical standpoint, the $65,000 area is emerging as a critical support zone for Bitcoin. This level has historically acted as a strong demand area during prior corrections, and traders are closely monitoring whether buyers step in again. A successful defense of this zone could open the door to stabilization or a short-term trend reversal, especially given how oversold Bitcoin has become.
However, a decisive break below $65,000 would likely deepen the correction and further damage sentiment, potentially leading to another wave of forced selling across the broader market.
Bitcoin Heavily Oversold as Liquidations Accelerate
Bitcoin’s decline has been accompanied by elevated trading volumes, particularly during down candles, pointing to forced selling rather than orderly profit-taking. This pattern is typical of late-stage sell-offs, where leverage is flushed out and weaker positions are forced to exit.
That dynamic played out clearly in derivatives markets, where total crypto liquidations surged past $1.4 billion in the last 24 hours. Long positions accounted for roughly $1.24 billion of that total, underlining how crowded bullish positioning had become before the move lower. Bitcoin alone contributed more than $700 million in liquidations, amplifying the speed and intensity of the drop below $67,000.
Altcoins Drop Harder as Bitcoin Sets the Tone
While Bitcoin remains the main focus, the sell-off has spilled aggressively into altcoins, which are seeing deeper losses on both daily and weekly timeframes as risk appetite evaporates.
- Ethereum is trading near $1,960, down about 5.7% over the past 24 hours and nearly 30% over the last seven days. Despite its large market cap and deep liquidity, Ethereum has underperformed Bitcoin on a weekly basis, reflecting broader risk reduction across smart contract platforms.
- Solana has fallen to around $85.50, posting daily losses of roughly 5.6% and weekly declines of more than 27%. Trading volumes remain elevated, suggesting continued liquidation pressure and limited dip buying so far.
- XRP is hovering near $1.29 after dropping about 5.4% on the day and almost 28% over the past week. The token has seen consistent selling pressure, with momentum indicators pointing to sustained bearish control rather than short-term consolidation.
- BNB is trading around $656, down just over 4% on the day and roughly 24% on the week, while stablecoins such as USDT and USDC remain close to their pegs, highlighting the broader flight into perceived safety amid market stress.
Across the board, RSI readings on major altcoins are sitting in extreme oversold territory, reinforcing the idea that this move is being driven by panic selling and leverage unwinds rather than fundamental shifts alone. Historically, altcoins tend to stabilize only after Bitcoin finds a clear bottom, underscoring why BTC’s behavior near key support levels remains crucial.
Market Near a Decision Point
With Bitcoin heavily oversold, liquidations largely flushed out, and price approaching the $65,000 support zone, the market is entering a critical phase. A successful defense of that level could calm volatility and allow Bitcoin to consolidate, easing pressure across altcoins. Until then, Bitcoin continues to dominate market direction, and as long as it struggles to regain momentum, the broader crypto market is likely to remain under pressure.
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Alex is an experienced financial journalist and cryptocurrency enthusiast. With over 8 years of experience covering the crypto, blockchain, and fintech industries, he is well-versed in the complex and ever-evolving world of digital assets. His insightful and thought-provoking articles provide readers with a clear picture of the latest developments and trends in the market. His approach allows him to break down complex ideas into accessible and in-depth content. Follow his publications to stay up to date with the most important trends and topics.