Bitcoin just dropped hard, falling below $113,000, and crypto markets are on edge. Let’s break down what caused the dip and what might happen next 👇
📉 Why Did BTC Crash?
Whales Took Profits 💰
A massive old wallet moved $4.8B in BTC, sparking panic.
This caused a chain reaction of $450M in long liquidations and $3.5B in losses across the market.
Resistance Rejected at $120K–$123K 🚫
BTC hit a high near $123K but got rejected multiple times.
A bearish candlestick pattern formed — a signal that sellers were taking control.
Macro Tensions 🌐
New U.S. tariff worries hit global markets.
Crypto investors got nervous and locked in profits, adding to the sell-off.
Weak Technical Signals ⚠️
Even as prices made higher highs, momentum (RSI) didn’t — that’s a bearish divergence.
Also, the NUPL indicator is flashing levels that often come before local tops.
🧠 Key Level to Watch: $113.6K
Analysts are pointing to this as a critical support zone based on technical patterns.
✅ Why This Matters
This crash shows how fast crypto can move when whales, macro events, and technical weakness all hit at once.
📌 What Traders Should Do
• Short-term traders: Watch $115K–$116K. If BTC reclaims this level, we may see a bounce.
• Long-term investors: Dips toward $104K–$110K might be buying zones — but only if strong fundamentals remain.
• Macro watchers: Keep an eye on Fed moves, tariffs, and global trade headlines — they’re moving markets.
#Bitcoin #BTC #cryptocrash #MarketUpdate