Bitcoin (BTC) losses topped 6% after the Wall Street open on Wednesday as a cascade of liquidations accelerated.
Key points:
- Bitcoin falls below $67,000 for the first time since the first week of April as losses pile up.
- Liquidations hit $1.25 billion over 24 hours as analysis shows a retracement of the $50,000 mid-range.
- BTC/USD appears to be repeating the bearish flag breakdown from earlier in the year.
BTC price drops to $66,950 in liquidation cascade
Data from TradingView showed that BTC/USD fell as low as $66,948 on Bitstamp.
BTC/USD hourly chart. Source: Cointelegraph/TradingView
That level marked the pair’s lowest level since April 5, erasing months of gains as 24-hour cross-crypto liquidations hit $1.25 billion.
Crypto liquidation history (screenshot). Source: CoinGlass
Continuation a dark divergence among other risk assets, Bitcoin fell while the S&P 500 set another all-time high.
BTC/USD vs. S&P 500 1-day chart. Source: Cointelegraph/TradingView
“Investors are averse to macro risk, fleeing to stablecoins and moving away from Bitcoin,” trader and analyst Rekt Capital wrote in response to X.
BTC/USD one month chart. Source: Rekt Capital/X
Rekt Capital saw a price target at its 50-month exponential moving average (EMA) next at $66,250.
“There could be a limited contact reaction from there, but over time, bitcoin is likely to break through this EMA and continue the macro decline in this bear market,” he said. added.
Source: Kalshi
As prediction service Kalshi saw a return of $50,000, commentator Exitpump pointed to record open interest contributing to the “insane amount of spot selling”.
“I think this may end up being a big red candle wiping out all the underwater debt from the system,” he says warned X followers.
“We may have hit the low 60s or even the mid 50s.”
BTC/USDT 12-hour chart with data from the exchange’s order book. Source: Exitpump/X
The Bitcoin Bear Flag is back in the spotlight
Moving on, CollinTalksCrypto, the creator of the social media channel of the same name, brought back the familiar chart feature to explain BTC price weakness.
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BTC/USD, he claimedit simply continued the previous failure pattern, exiting a bearish flag structure.
“Many wanted to overcomplicate this with ‘this time is different,’ but bitcoin is simply doing the same thing it always does in bear markets. It breaks,” X’s post said.
“And it definitely lasts longer than 4 months (Oct->Feb $60,000), despite hopium wishing otherwise. I think it’s more likely than many still want to admit that we see lower lows this year.”
BTC/USD one day chart. Source: ColinTalksCrypto/X
ColinTalksCrypto described the BTC price chart as “pretty clear”.
