Bitcoin Tumbles Below $109K: Market Tremors or Just Another Tuesday?

Crypto’s golden child takes a nosedive—was it macro fears, miner capitulation, or just Wall Street hedge funds playing their usual rehypothecation games?

Here’s the breakdown:

The number: $109,000 wasn’t just a psychological barrier—it was the last line of defense for leveraged longs. Now liquidations are stacking up like unconfirmed transactions.

The suspects: Take your pick—ETF outflows, Mt. Gox repayments hitting exchanges, or that classic ’sell the news’ action post-halving. (Pro tip: It’s probably all three.)

The irony: Traditional markets are flat while Bitcoin bleeds. So much for ’uncorrelated assets’—unless you count correlation to billionaire Twitter tantrums.

Bottom line: Volatility isn’t a bug in crypto, it’s the business model. Meanwhile, your bank’s savings account still yields less than a DeFi dust attack.

With this drop, every indicator and technical analysis are refreshed, with Bitcoin now looking at a new support level above the $100K mark. 

Why is Bitcoin Price Dropping?

The latest drop in bitcoin price coincides with the recent TruthSocial post from the U.S. president Donald Trump, which proposes a 50% tariff on EU goods. This move has introduced significant market uncertainty and huge volatility across world markets. 

If implied, such tariffs could disrupt global trade and create volatility in financial markets, which also impacts Bitcoin’s price. Earlier this year, similar tariffs on China led to bitcoin dropping below $76,000, indicating that trade tensions can trigger sell-offs in crypto markets.

Also read: Saylor’s Strategy Plans $2.1B Stock Sale to Buy More Bitcoin