empty
InstaForex Loprais Team - Official participant of the Dakar rally
InstaForex Loprais Team - Official participant of the Dakar rally
This section is designed for those who are just starting their trading journey. InstaForex educational and analytical materials will meet your training needs. Our experts' recommendations will make your first steps to trading success simple and clear.
Start as Beginner
How to start trading
Useful information
Training and recordings
InstaForex innovative services are an essential element of productive investment. We strive to provide our clients with advanced technical capabilities and make their trading routine comfortable as we are recognized as the best broker in this regard.
Become Investor
PAMM System
ForexCopy System
Passive investments
Partnership with InstaForex is beneficial and top-tier. Join our affiliate programs and enjoy bonuses, partner rewards, and the possibility to travel with the team of the world-renowned brand.
Become Partner
Main Page
Partner Area
Advantages for Affiliates
Registration
This section contains the most lucrative offers from InstaForex. Receive bonuses when topping up an account, compete with other traders, and get real prizes even when trading in a demo account.
All Promo Campaigns
Bonuses
Contests
Events
Holidays with InstaForex are not only pleasant but also useful. We offer a one-stop portal, numerous forums, and corporate blogs, where traders can exchange experiences and become successfully integrated into the Forex community.
Full details
Forums
We are in social networks
Forex humour
Forex Portal
InstaForex is an international brand created in 2007. The company provides services for online FX trading and is recognized as one of the world's leading brokers. We have won the trust of more than 7,000,000 retail traders, who have already appreciated our reliability and focus on innovations.
Learn More
History
Why Choose Us
InstaSport
Regulation
Company News
Awards
InstaForex Stars
InstaForex Offline
Headquarters
Key documents
Social Responsibility
11.03.2025 01:16 AM
Bitcoin at Risk: Will the Trend Reverse After Mass Liquidations?
Open trading account Open demo account

The past few weeks have posed a significant challenge for Bitcoin. In just a few days, its price fell below $85,000, leading to a wave of liquidations and causing investor panic. This represents a 14% decline compared to levels from the previous week, raising concerns about the potential end of the current bullish cycle.

The main reason for this drop was the mass closure of long positions on major cryptocurrency exchanges. According to Coinglass, total liquidations in the past 24 hours reached $619 million, marking one of the largest figures seen in recent months.

Notably, Bybit and Binance accounted for most forced liquidations, with Bitcoin leading among liquidated assets, followed closely by Ethereum.

But is this the beginning of a large-scale bear market, or just a temporary pause before another upward surge? Let's analyze the situation.

This image is no longer relevant

Are Bitcoin Holders Ready for a New Breakthrough?

Despite the panic, analytical indicators suggest a possible recovery. One key signal is the Cumulative Value Days Destroyed (CVDD) indicator, which tracks long-term holder activity and capital movement. According to CryptoQuant, this metric signals the potential start of a new bullish trend.

What does this mean in practice? If Bitcoin holds above $80,000 and consolidates within the $84,000 – $86,000 range, the likelihood of a new upward move increases significantly. In this case, BTC could set its sights on $100,000.

However, if selling pressure persists and Bitcoin falls below $80,000, it could trigger a further decline. Critical support levels in this scenario are $78,000 and $72,000.

Liquidations and Investor Fear: What Do the Numbers Say?

According to Coinglass, over the last 24 hours, liquidations affected more than 222,000 traders, with long position holders suffering the most losses. In total, $527 million worth of long positions were liquidated, compared to just $93 million in short positions. This indicates that the market experienced a sharp surge in volatility, forcing inexperienced traders to capitulate.

Market sentiment has also been heavily impacted by the Fear & Greed Index, which has dropped to 20, signaling extreme fear among participants. Historically, such moments have often marked local reversals and the beginning of new growth. However, Bitcoin could remain under pressure this time without a strong catalyst.

Why Isn't the Market Reacting to Fundamental Drivers?

The market remains sluggish despite a series of positive developments—including creating a strategic Bitcoin reserve in the U.S. and a crypto summit at the White House. Analysts at Matrixport highlight the lack of significant interest from retail investors and low funding rates for Bitcoin, Ethereum, and Solana futures as key issues. This suggests that bullish momentum has not yet gained sufficient strength.

During periods of strong growth, funding rates typically reach high double-digit figures, whereas they currently remain at moderate levels. Even Donald Trump's inauguration, previously considered a potential catalyst for Bitcoin's rise, has not led to significant market movement.

Conclusion: What's Next for Bitcoin in the Coming Weeks?

Bitcoin is at a critical juncture: it must either consolidate above $84,000 and regain bullish momentum or break below $80,000 and continue its downward correction. In the coming weeks, investors should closely watch the following key levels:

  • Above $86,000: Confirmation of an uptrend, with a target of $100,000 and potentially $128,000.
  • Between $80,000 – $84,000: A zone of uncertainty where bulls and bears will battle to control the market's direction.
  • Below $80,000: There is a high risk of further decline, with potential targets at $78,000 – $72,000.

This current uncertainty presents opportunities for both traders and long-term investors. However, given the high volatility, caution and risk management are essential. Bitcoin remains the most dynamic asset in the market, meaning surprises are still ahead.

Ekaterina Kiseleva,
Analytical expert of InstaForex
© 2007-2025
Select timeframe
5
min
15
min
30
min
1
hour
4
hours
1
day
1
week
Earn on cryptocurrency rate changes with InstaForex
Download MetaTrader 4 and open your first trade
All Analytics
Forecast
USD/JPY: Simple Trading Tips for Beginner Traders for June 6th (U.S. Session) Trade Review and Tips for Trading the Japanese Yen The price test at 144.02 in the first half of the day occurred when the MACD indicator had already moved significantly
Jakub Novak
15:46 2025-06-06 +02:00
3340
Forecast
GBP/USD: Simple Trading Tips for Beginner Traders for June 6th (U.S. Session) Trade Review and Tips for Trading the British Pound The price test at 1.3546 in the first half of the day occurred when the MACD indicator had already moved significantly
Jakub Novak
15:43 2025-06-06 +02:00
2725
Breaking Forecast Trading Plan Cryptocurrencies USD/RUB Russian Economy Video Analysis
Trading Instruments
EURUSD GBPUSD USDCHF USDCAD USDJPY AUDUSD EURGBP EURJPY NZDUSD EURNZD Silver Gold #CL #USDX COVID-19 Bitcoin
  • Grand Choice
    Contest by
    InstaForex
    InstaForex always strives to help you
    fulfill your biggest dreams.
    JOIN CONTEST

Recommended Stories

Technical Analysis of Intraday Price Movement of Litecoin Cryptocurrency, Thursday June 05, 2025.

On the 4-hour chart of the Litecoin cryptocurrency, there is an appearance of a Descending Broadening Wedge pattern which indicates that there will be a strengthening in the near future
Arief Makmur 09:53 2025-06-05 UTC+2

Trading Recommendations for the Cryptocurrency Market on June 5

Bitcoin is struggling to reach $106,000 less frequently and is dropping toward $104,000 more often, which is a rather concerning short-term signal. Sooner or later, this pattern could lead
Miroslaw Bawulski 09:20 2025-06-05 UTC+2

Trading Recommendations for the Cryptocurrency Market on June 4

Bitcoin and Ethereum keep trying to break through key resistance levels but continue to face the same obstacle. On one hand, this suggests a cautious approach by major market players
Miroslaw Bawulski 09:19 2025-06-04 UTC+2

The Correlation Between BTC and Global M2 Liquidity Remains High

Bitcoin still cannot firmly hold above the $106,000 level, which raises certain concerns. While other altcoins and tokens have been performing much better, at least in recent days, the fact
Jakub Novak 09:17 2025-06-04 UTC+2

BTC/USD Analysis on June 4, 2025

The wave pattern on the 4-hour chart for BTC/USD has become more complex. We observed a corrective downward structure that completed its formation around the $75,000 level. After that
Chin Zhao 09:10 2025-06-04 UTC+2

Trading Recommendations for the Cryptocurrency Market on June 3

Bitcoin and Ether surged strongly during Asian trading, although yesterday ended on a somewhat downbeat note. However, despite the rapid strengthening of these assets, Bitcoin once again failed to maintain
Miroslaw Bawulski 08:51 2025-06-03 UTC+2

Bitcoin's technical outlook appears promising

Bitcoin appears to have found a bottom near $104,000 and is currently trading around $104,500 in early June. It is evident that the cryptocurrency is positioned at a psychological
Jakub Novak 12:36 2025-06-02 UTC+2

Trading Recommendations for the Cryptocurrency Market on June 2

Despite the corrections at the end of last week, Bitcoin and Ethereum are once again showing upward momentum, although Ethereum is lagging behind. Experts from the banking group also point
Miroslaw Bawulski 09:45 2025-06-02 UTC+2

Bitcoin Forecast for June 2, 2025

Bitcoin Over the weekend, Bitcoin formed a reversal from the supports at the target level of 102,698 and the embedded green price channel line. If today's candlestick closes in white
Laurie Bailey 04:30 2025-06-02 UTC+2

Crypto investors still overwhelmed by optimism

Despite the ongoing correction, investor sentiment toward buying crypto assets remains positive, as indicated by the so-called Fear & Greed Index, which, as we noted earlier, is still
Jurij Tolin 16:24 2025-05-30 UTC+2

Top analytics

Relevance up to 23:00 2025-06-18 UTC--5
Trading Signals for GOLD (XAU/USD) for June 5-9, 2025: sell below $3,387 (21 SMA - 7/8 Murray)
06:36 2025-06-05
Technical analysis
Relevance up to 00:00 2025-06-20 UTC--5
Trading Signals for EUR/USD for June 6-10, 2025: buy above 1.1080 (200 EMA - 6/8 Murray)
07:04 2025-06-06
Technical analysis
Relevance up to 00:00 2025-06-20 UTC--5
Trading Signals for GOLD (XAU/USD) for June 6-10, 2025: buy above $3,365 (21 SMA - 7/8 Murray)
07:01 2025-06-06
Technical analysis
Relevance up to 23:00 2025-06-18 UTC--5
Trading Signals for EUR/USD for June 5-9, 2025: sell below 1.1474 (21 SMA - 6/8 Murray)
06:38 2025-06-05
Technical analysis
Relevance up to 02:00 2025-06-10 UTC--5
The Market Finds Good in the Bad
09:20 2025-06-05
Fundamental analysis
Can't speak right now?
Ask your question in the chat.
Widget callback
Callback widget
 

Dear visitor,

Your IP address shows that you are currently located in the USA. If you are a resident of the United States, you are prohibited from using the services of InstaFintech Group including online trading, online transfers, deposit/withdrawal of funds, etc.

If you think you are seeing this message by mistake and your location is not the US, kindly proceed to the website. Otherwise, you must leave the website in order to comply with government restrictions.

Why does your IP address show your location as the USA?

  • - you are using a VPN provided by a hosting company based in the United States;
  • - your IP does not have proper WHOIS records;
  • - an error occurred in the WHOIS geolocation database.

Please confirm whether you are a US resident or not by clicking the relevant button below. If you choose the wrong option, being a US resident, you will not be able to open an account with InstaForex anyway.

We are sorry for any inconvenience caused by this message.