- On September 22, Bitcoin fell below $112 000.
- The liquidation volume exceeded $1 billion in an hour, and $1.7 billion in a day.
- Experts pointed to caution among investors and a decline in excitement around the Fed's decision.
On the morning of September 22, 2025, the price of Bitcoin momentarily collapsed to $111 800, according to TradingView. Against this backdrop, the liquidation volume for futures contracts in an hour exceeded $1 billion, and almost all of this was losses on long positions.
At the time of preparing this material, the Bitcoin rate has partially recovered. The asset is trading slightly below $113,000. The daily chart shows a decline of 1.86%.
In addition to Bitcoin, other assets also experienced declines. For Ethereum, XRP, Solana, and Dogecoin, which are in the top by market capitalization, the depth of correction exceeds 7%.
The sharp crash in the market led to traders, primarily on long positions, facing forced liquidations. A total of 407 635 addresses were affected, with cumulative losses over 24 hours amounting to $1.7 billion.
On the market overall, bearish sentiments are still evident. The Fear and Greed Index has decreased by one point over the last 24 hours. It indicates that traders are inclined to sell and are acting cautiously.
One of the probable reasons for such a decline in the market is the increase in volatility as the excitement surrounding the Federal Reserve's (Fed) interest rate decision diminishes. Experts pointed to caution among traders, particularly short-term ones.
Investors are cautious, long-term holders are not panicking, but short-term traders are concerned. Blockchain data shows that holders are not selling, so sentiments are more reminiscent of 'nervous optimism' rather than outright fear,” said Rachel Lucas, a crypto analyst at BTC Markets, in a comment to The Block.
The situation was also commented on by former Binance CEO Changpeng Zhao. He stated that any decline is a natural part of the market cycle, which is necessary for forming support levels.