Bitcoin extended its pullback, sliding more than 3% over the past 24 hours to break below $67,000 for the first time since March 9, as a cascade of liquidations hit the market. Coinglass data shows over $50 million in long positions were wiped out within an hour, with bitcoin accounting for the bulk of those losses.
The weakness carried over into crypto-related equities, where Circle Internet (CRCL), Coinbase (COIN) and Strategy (MSTR) all traded lower in pre-market action.
The move underscores how heavily positioned the market had become on the long side. As prices declined, leveraged bullish bets were forced to unwind due to margin constraints, accelerating the sell-off.
Derivatives data suggests the pressure may not be over. A 48-hour liquidation heatmap highlights a sizable liquidity pocket just below $66,000, indicating a potential magnet level if downside momentum persists.
Sentiment in futures markets is also turning more defensive. Funding rates have flipped negative, pointing to increased short positioning as traders bet on further declines.
Meanwhile, the macro backdrop continues to deteriorate. The U.S. 10-year Treasury yield is nearing 4.5%, its highest level in about a year, reducing the appeal of risk assets such as cryptocurrencies.
Bond market volatility is also on the rise, with the MOVE index surging 18% in the past 24 hours, reflecting heightened uncertainty around inflation and interest rate expectations.
Energy markets are adding another layer of pressure. Brent and WTI crude prices have climbed around 3%, partly driven by Ukraine’s disruption of Russian oil flows, complicating efforts by U.S. President Donald Trump to stabilize global supply.
At the same time, the U.S. dollar continues to strengthen, with the DXY index approaching the 100 level, creating additional headwinds for bitcoin and the broader crypto market.
