The cryptocurrency market has plunged further into bearish territory after Bitcoin dropped to $70,000, triggering widespread panic across digital asset markets. This sharp decline has reignited fears of a prolonged bear phase, with investors closely monitoring macroeconomic signals, institutional flows, and technical indicators for clues about what comes next.
Market-Wide Selloff Intensifies
The crypto market is currently in a bloodbath as Bitcoin plunges below its April 2025 lows to $70,000 amid increased liquidation pressure. Data from CoinGlass shows that over $850 million in liquidations occurred in the past 24 hours. Additionally, roughly 175,579 traders were liquidated from their positions within the same timeframe, highlighting the scale of the forced selling wave.
Like Bitcoin, other top assets in the market have also succumbed to bearish pressure and are trading around multi-month lows. Ethereum crashed to the $2,000 level, while XRP plunged to $1.42 as sellers dominated order books across major exchanges. The synchronized drop across top assets reflects a broad risk-off environment rather than isolated token-specific weakness.
Meanwhile, analysts attribute the selloff to a combination of macroeconomic uncertainty, profit-taking after earlier rallies, and reduced institutional inflows. Further adding to the pressure is the escalation in geopolitical tensions between the U.S. and Iran, which has heightened market volatility and investor anxiety.
Investor Sentiment Turns Defensive
Market sentiment indicators show a sharp shift toward fear as traders brace for further downside risk. The Crypto Fear and Greed Index has slid to 12, indicating extreme fear as investors scramble for safety. This level historically signals heavy risk aversion and weak buying confidence across the market.
On-chain data suggests that more whales have begun capitulating to reduce risk exposure. Blockchain tracker Lookonchain recently reported that Ethereum co-founder Vitalik Buterin has continued selling ETH. The data reveals that the co-founder sold 2,961 ETH worth approximately $6.6 million over the past three days and is reportedly continuing to sell, adding further bearish pressure to market sentiment.
Institutional appetite has also diminished significantly. Bitcoin ETFs recorded outflows of $544.94 million, reflecting short-term weakening in institutional conviction. Ethereum ETFs also recorded $79.48 million in outflows, reinforcing the broader narrative of institutional caution amid ongoing market volatility.
Bitcoin Price Prediction
Amid the aggressive market dip, several market experts have begun speculating that Bitcoin may be heading toward a confirmed bearish phase. Among them is analyst Nicrypto, who recently stated in an X post that Bitcoin could bottom at around $55,700, marking a potential bear-market target. However, the analyst noted that this scenario would likely only play out if Bitcoin breaks decisively below $70,000.
Meanwhile, on-chain analytics firm CryptoQuant suggested that multiple indicators are already signaling a bear market. According to the firm, Bitcoin’s Bull Score Index has fallen to zero, a historically bearish signal indicating underlying structural weakness in the market.
CoinMarketCap data shows that Bitcoin has rebounded slightly and is currently trading around $71,000. Despite the minor recovery, analysts warn that Bitcoin is not yet off the hook, as volatility remains elevated and broader market sentiment remains bearish.
Evans Kelvin
The CoinRemark Team
