Bitcoin Price Plunges Below $65,000, Reaching Lowest Level in Over a Year
The world's largest cryptocurrency, Bitcoin, has experienced a dramatic slump, falling below the $65,000 mark to reach its lowest price in more than a year. This significant decline comes amidst a backdrop of extreme fear and intense selling pressure in the markets, coinciding with the second term of United States President Donald Trump. At the time of writing, Bitcoin was trading at $64,352.40, reflecting a steep decline of 33.82% over the past year and a sharp drop of 9.84% in the last 24 hours, according to data from CoinMarketCap.
Historical Context and Market Metrics
Bitcoin had previously soared to a record high of $126,000 in October 2025 but has been in a persistent freefall since that peak. The market capitalization of Bitcoin now stands at $1.28 trillion, down by 9.78% over the past day. Trading volume has surged to $143.98 billion, marking an increase of 103.09% during the same period, indicating heightened market activity and panic selling.
In terms of market dominance, Bitcoin currently holds 58.2% of the cryptocurrency market, a slight decrease of 0.02%. Ethereum, the second-largest token, accounts for 10.4% of the market, down by 2.01%. The remaining tokens collectively make up 31.5% of the market, showing an increase of 2.04%.
What Triggered the Bitcoin and Crypto Market Slump?
According to the CoinDCX Research Team, the current market phase is characterized as a capitulation phase, where traders are gripped by FUD—fear, uncertainty, and doubt. "Small corrections often lead to huge pullbacks," the team noted. They added that institutional investors had initially been optimistic following Trump's return to the White House, but instead of stabilizing the markets, his approach has heightened volatility, particularly for Bitcoin, prompting many investors to exit their positions.
Data analysis reveals that the slump is driven by a broad market sell-off, largely correlated with a macroeconomic downturn in traditional markets. This has led investors to move across various asset classes, exacerbating the crypto decline. In a stark indicator of the turmoil, more than $1.03 billion in Bitcoin positions were liquidated within 24 hours, a staggering 230% spike from the previous day. Long positions constituted 89% of these liquidations, forcing selling pressure that drove prices lower.
Technical Analysis and Market Outlook
From a technical perspective, Bitcoin has broken and closed below the critical 78.6% Fibonacci retracement level at $63,047.05, accompanied by massive trading volume that increased by 110%. "A cascading liquidation event amplified the drop, while a key technical breakdown confirmed bearish momentum," stated the analysis. In the near term, if Bitcoin manages to hold above the $63,047 Fibonacci support, a relief bounce toward $67,020 is possible. However, a break below this level risks a deeper slide toward $60,074. Market watchers are advised to monitor for stabilization in US equity futures as a potential signal for recovery.
Crypto Market Prices Today: Ethereum, Tether, XRP, and Binance
The overall cryptocurrency market is deeply in the red, with total market capitalization down to $2.23 trillion and trading volume at $304.02 billion. The Fear and Greed Index has plummeted to an 'Extreme Fear' level, reflecting widespread pessimism.
- Ethereum: Priced at $1,908.69, down 8.85% over the past 24 hours, with a market cap of $230.47 billion (down 8.66%) and trading volume of $70.96 billion (up 48.52%).
- Tether: Trading at $0.9988, down 0.08%, with a market cap of $185.5 billion (down 0.08%) and trading volume of $249.65 billion (up 70.01%).
- Binance: Valued at $619.16, down 10.49%, with a market cap of $84.42 billion (down 10.41%) and trading volume of $5.51 billion (up 56.85%).
- XRP: Priced at $1.27, down 12.02%, with a market cap of $77.48 billion (down 11.7%) and trading volume of $13.05 billion (up 165.05%).
Broader Market Impact and Recent Developments
The cryptocurrency market has officially entered a bearish phase, with most major cryptocurrencies plunging to their lower thresholds. Bitcoin marked an intraday low at $60,000, while Ethereum hovered around $1,740. Solana dropped heavily below $68, and XRP managed to sustain above $1.1. Dogecoin fell below $0.09, but Hyperliquid showed resilience, surging by 3.75% to trade close to $35. Along with HYPE, MYX Finance and Decred led the top gainers with rises of 8.32% and 7.81%, respectively. Conversely, UNUS SED LEO plunged by 26.2%, followed by Monero (down 21.29%), Optimism (down 19.28%), and Jupiter (down 18.11%).
This latest market plunge has wiped out more than $350 billion from the cryptocurrency markets, with over $2.2 billion in long positions liquidated. In related news, BlackRock's ETF IBIT hit $10 billion in daily volume as Bitcoin prices slumped over 13%. Tether has invested $150 million in Gold.com, acquiring a 12% stake to integrate a gold-backed stablecoin. Bitwise has filed an S-1 for a Uniswap ETF with the SEC, while Gemini has exited the UK, European, and Australian markets. Polymarket has partnered with Circle to upgrade stablecoin infrastructure, bringing USDC settlement to prediction markets. Additionally, US House lawmakers have launched a probe into WLFI following reports that a UAE-linked entity acquired a $500 million stake.
