Bitcoin Plunges to $101K: Is This the Capitulation Floor or Just Another Dip?

Bitcoin's brutal correction slashes prices to $101K—triggering panic sells and liquidations across leveraged positions. The king of crypto now tests a critical psychological level, with traders scrambling to predict the next support zone.

Market Psychology at Breaking Point

Fear spreads as BTC retraces 30% from its 2025 ATH. Retail investors dump holdings while institutional players circle like vultures—because nothing unites finance bros like profiting from others' stop-losses.

Technical Outlook: Blood in the Streets

The RSI screams oversold, but past cycles suggest we're not done yet. If $95K fails to hold, prepare for a cascade toward the 200-week moving average. Meanwhile, 'HODL' memes are getting quieter by the hour.

Silver Lining Playbook

This shakeout vaporizes weak hands and resets futures funding rates—classic ingredients for the next leg up. Just don't tell that to the guy who YOLO'd his home equity at $120K.

As seen from the 1-hour chart, at least on that time frame, the cryptocurrency has been in a clear downtrend for the past five days, marking lower highs and lower lows consistently.

Data from Coinglass also reveals elevated levels of liquidated positions across the leverage market. Almost $700 million were wiped off, which is a 35% increase compared to the day before. Naturally, the overwhelming majority of that were longs, accounting for around $600 million of the total.

The heatmap below also paints a depressing picture. As you can see, with the exception of LEO, every single altcoin from the top 50 (by market capitalization) is charting significant losses over the past 24 hours.