Bitcoin Falls Below $100,000 as $700 Million in Liquidations Rock the Market
Bitcoin has fallen back under the $100,000 threshold, trading near $99,800 on Friday as market volatility returns.
- Bitcoin drops below $100K as $713M in crypto positions get liquidated.
- Analysts hint at a potential rebound once selling pressure eases.
- Technical signals still point to short-term weakness.
The pullback follows a week-long decline that erased close to 9% from the asset’s value, leaving traders on edge after one of the sharpest corrections since mid-summer.
Data from Coinglass shows more than $713 million in leveraged crypto positions were liquidated in the past 24 hours, with Bitcoin alone accounting for nearly $295 million of the total. Long traders were hit hardest, losing over $240 million as the market reversed abruptly, while another $54 million in short positions were wiped out during brief intraday recoveries.
Liquidity Dries Up Amid Broader Market Uncertainty
According to analyst Michaël van de Poppe, the ongoing U.S. government shutdown is creating temporary illiquidity across risk markets, amplifying Bitcoin’s volatility. He noted that macro data such as the latest PMI uptick remains positive for risk assets but cautioned that crypto “still needs time to stabilize.” Van de Poppe expects Bitcoin to test resistance near $106,000 before confirming any sustained recovery.
PMI has gone up on Wednesday, great news for the markets.
Now, when we're looking at #Bitcoin.
Things take time.
The markets seem very illiquid now during the government shutdown, the levels remain clear.
We need to test $106K and go up from there. pic.twitter.com/TaeRiyMyI3
— Michaël van de Poppe (@CryptoMichNL) November 7, 2025
On-chain data from CryptoQuant, shared by analyst Ali Martinez, provides a slightly more optimistic picture. Martinez highlighted that Bitcoin’s realized losses recently reached -11%, a level that has historically preceded rebounds. “In the past two years, BTC has always recovered once realized losses went below -12%,” he said, suggesting the market could be nearing another turning point.
Technical Setup Remains Bearish for Now
Market indicators on TradingView continue to flash red. The daily summary signals “Sell”, with most moving averages and oscillators aligning bearishly. The RSI sits near 32, suggesting the asset is approaching oversold territory, while the MACD remains negative, indicating lingering downward momentum.
Bitcoin’s price chart shows a clear pattern of lower highs and lower lows, with the next major support expected around $98,000. A break below that level could open the door to further declines toward $94,000, although historical on-chain data points to potential accumulation zones forming below $100K.
Wider Crypto Market Feels the Impact
Altcoins mirrored Bitcoin’s weakness, with Ethereum, Solana, and XRP also posting losses. The broader sell-off triggered widespread liquidations as overleveraged traders exited positions across derivatives exchanges.
Despite the pressure, analysts say this flush-out could set the stage for a more sustainable recovery. Historically, large liquidation events often coincide with market bottoms, especially when accompanied by extreme bearish sentiment and thin liquidity.
Outlook: Volatility Likely to Continue
While technical indicators still warn of downside risks, several analysts believe Bitcoin’s correction is part of a broader consolidation phase. As liquidity returns and sentiment stabilizes, a bounce toward the $106,000–$110,000 zone remains plausible in the coming weeks.
For now, Bitcoin remains below the psychological $100K mark — a reminder that even in an increasingly institutionalized market, volatility is still the rule, not the exception.
The information provided in this article is for educational purposes only and does not constitute financial, investment, or trading advice. Coindoo.com does not endorse or recommend any specific investment strategy or cryptocurrency. Always conduct your own research and consult with a licensed financial advisor before making any investment decisions.
Alexander Zdravkov is a market analyst and crypto journalist with interests in economics, broader financial markets and digital assets. His journey into crypto began more than four years ago, driven by a fascination with the rapid evolution of blockchain technology and the transformative potential of decentralized finance. He began analyzing market cycles and identifying emerging trends before they reach the mainstream. He holds a degree in International Relations - a background that helped shape his broader perspective on global economics, geopolitics, and the interconnected nature of modern financial markets. Whether covering the latest developments in the crypto sector or exploring broader macroeconomic themes, Alexander focuses on giving readers context rather than simply repeating headlines. During his career, he has authored more than 10,000 articles covering cryptocurrencies, traditional finance, and global market developments. His work spans everything from Bitcoin and altcoins to macroeconomic trends influencing risk assets worldwide.
