TL;DR
- Bitcoin fell below $90,000, sparking risk-off trading and more than $450 million in 24-hour liquidations, mostly on long positions.
- The selloff hit majors including ETH, BNB, XRP and SOL, down roughly 4% to 8%, while the Fear & Greed Index dropped 14 points to about 28.
- With $90,000 now a pivot, traders are watching for cascade effects, rebounds, and whether price can reclaim support to ease volatility.
Crypto markets flipped risk-off after Bitcoin broke below the $90,000 level, setting off selling across spot and derivatives. CoinGlass data showed more than $450 million in liquidations over the past 24 hours, with long positions absorbing most of the forced exits as prices slid. The move followed a rejection near $94,000 and came alongside a sharp dip in total market value, signaling that key levels are dictating flows. In this tape, support failures quickly become liquidation triggers. That has traders reassessing leverage, tightening stops, and watching whether dip buyers can reassert control soon.
Liquidations, Price Moves and the Fear Index
Selling pressure spilled into large caps. Ethereum, BNB, XRP and Solana all fell roughly 4% to 8% in the same session, showing broad de-risking rather than an isolated Bitcoin event. Sentiment deteriorated as the Crypto Fear & Greed Index dropped 14 points to around 28, a slide into fear territory. In practice, fear can widen bid-ask spreads and magnify swings, especially when liquidity thins and traders crowd into the same exits. The market cap contraction underscored that rotation turned defensive. That shift pulls discretionary buyers to the sidelines and rewards patient limit orders.
Derivatives flows reinforced the stress signal. Most liquidations hit longs, implying leveraged bulls were caught offside as support gave way. When positions are closed by force, additional sell orders arrive just as bids retreat, creating feedback loops. With $90,000 now a psychological pivot, liquidation cascades can accelerate downside momentum if traders keep leaning into failed bounces. The dynamic can also lift volatility metrics, because rapid deleveraging compresses timeframes and punishes slow risk management across venues. Traders are now monitoring whether selling is exhaustion-driven or the start of a deeper trend reset for Bitcoin.
Attention has shifted to how price behaves around former support and nearby demand zones. If Bitcoin cannot reclaim $90,000, traders will look for additional downside probes and choppy two-way trade as shorts press and dip buyers test entries. A clean reclaim, by contrast, could cool the fear gauge and slow forced selling. Either way, volatility is rising alongside renewed selling pressure, so participants are treating rebounds as provisional until liquidity and leverage normalize. For now, the market is trading the level, not the narrative. That keeps positioning disciplined and position sizing across desks.
