🔻 Factors That Can Cause BTC Prices to Drop:
1. Regulatory Pressure:
• Large countries like the US, China, or the EU issuing strict regulations against crypto.
2. Large Liquidations in the Futures Market:
• If many long traders face margin calls or liquidations, it could trigger a drastic drop.
3. Interest Rate Hikes by The Fed:
• Investors tend to move out of high-risk assets (like crypto) into safe assets.
4. Bad Market Sentiment:
• For example, due to news of hacking, major fraud (like FTX), or negative statements from global financial figures.
5. Massive Sell-offs by Whales (large holders $BTC BTC):
• For example, Mt. Gox wallet, the US government, or institutions selling their reserves.