Bitcoin has experienced a significant decline, erasing all its gains for the year 2025 by falling below the $93,000 mark for the first time in nearly seven months. Currently trading at approximately $92,123, Bitcoin has witnessed a 2.3% decrease in the past 24 hours and a substantial 13% drop over the past week, as reported by crypto price aggregator CoinGecko.
The trading volume for Bitcoin has surged, more than doubling to $114 billion, as noted by CoinGlass. This volatility is highlighted by the liquidation of approximately $335 million worth of Bitcoin derivatives contracts over the past day, contributing to a total of $725 million in liquidations across the crypto market in the last 24 hours.
Analysts at QCP Capital, a Singapore-based trading firm, pointed to the breakdown below the critical 50-week moving average and a weekly closing price under $100,000 for the first time since early May as factors that have instigated a cautious sentiment among investors. The analysis indicates that discussions surrounding the potential end of Bitcoin’s four-year cycle have compounded the prevailing bearish outlook.
Historically, Bitcoin has undergone a “halving” event roughly every four years, usually followed by significant price drawdowns 12 to 18 months post-halving. Following the latest halving event in April 2024, many experts had suggested that the cycle might conclude around October. However, recent commentary indicates that the cycle may simply be delayed rather than over.
The QCP team highlighted the $92,000 mark as a vital support level for Bitcoin, noting it had functioned as a lower boundary during the latter part of last year and early this year. As Bitcoin approaches this critical price point, analysts are watching closely for potential reactions to testing this level.
The $92,000 region also coincides with an unfilled CME gap, which could statistically increase the likelihood of a short-term technical rebound if this support is tested. However, analysts caution that significant overhead supply and ongoing macroeconomic uncertainties, coupled with a slow return of liquidity to crypto markets, could hinder any robust recovery.
Recent economic developments include the end of a protracted U.S. government shutdown, which had made history by lasting 43 days. Nevertheless, uncertainty remains prevalent in the wider economic landscape, impacting investor confidence.
Users on Myriad, a prediction market, are increasingly anticipating further declines for Bitcoin, with a notable 63% probability that it will retreat to as low as $85,000 before regaining momentum to reach $115,000. This sentiment reflects a significant shift in expectations among market participants, emphasizing the current fragility of the cryptocurrency’s market position.
