Bitcoin Price Crashes 7% in a Flash – Crucial Speech Tonight #
Photo: Lukas Heldak/Shutterstock
It was starting to look up for bitcoin again. But the gains it worked so hard for last week have been wiped out in an instant. The price has suffered an incredible crash while you were most likely sound asleep. Bitcoin has lost 7 percent in just a few hours, causing a devastating bloodbath across the crypto market.
BTC Price Plunges After News from Japan #
Bitcoin couldn’t have started the new week much worse. All of last week’s gains have already been given back, and there is now fear that the price will drop below the low of Friday, October 21.
Yesterday, bitcoin actually moved between $91,000 and $92,000 for most of the day. Shortly after midnight, the biggest drop occurred: at 02:00, a first low of $87,000 was reached.
Early in the morning, bitcoin also dipped below $86,000, bringing the total loss to nearly 7 percent. From $92,000 in the afternoon to $85,600 as the lowest point.
The price was pushed down at a murderous pace because massive long positions were liquidated at the most illiquid time of the week (low trading volume). These are positions that bet on a rise. When the price then moves hard in the opposite direction, these longs are automatically closed by the exchange because there is insufficient collateral.
This causes large amounts of bitcoin to be forcibly sold. This creates a chain reaction (each liquidation pushes the price lower, causing even more longs to fall) and this has already caused flash movements several times in recent months.
According to CoinGlass, €471 million worth of long positions have been wiped out in the past twelve hours.
The catalyst for the decline appears to be the rising Japanese 2-year yield, increasing the likelihood that the Bank of Japan will tighten after years of (almost) free money.
Between $83,000 and $85,000 lies a strong support level for bitcoin. That means a large army of buyers is ready to prevent further bloodshed. If that fails, the price seems to be heading for a new low below $80,600.
📈 #Bitcoin LTF game plan 📈
Upper pink box target hit and $BTC is heading to the lower one. The question will be if it can hold for that next leg, or if markets continue to sell off?
Wait for bullish structure to form on the TF if your looking to play any longs. #Crypto #BTC https://t.co/Wfy8MnX7Xh pic.twitter.com/nFyoSPg9eS
— AlphaBTC (@mark_cullen) December 1, 2025
Tonight, Jerome Powell, the chairman of the U.S. Federal Reserve, will speak. Recently, the chance of a rate cut this month has increased explosively, and the market now hopes that Powell will confirm those expectations.
At the time of writing, the BTC price on crypto exchange OKX is $86,141. On the Dutch crypto exchange Bitvavo, the BTC price in euros is €74,321. Compared to 24 hours ago, BTC is down 5.28 percent.
Ripple, Solana & Cardano Plunge #
With such a heavy blow for bitcoin, it was almost inevitable that the rest of the market would be dragged into the abyss. Many altcoins have been thrown down with the same brute force, and in some cases even harder.
Ethereum is down 5.15 percent, ripple 7.27 percent and solana 7.16 percent. Dogecoin and cardano have lost 8.22 percent and 8.54 percent respectively.
Zcash, the privacy-focused brother of Bitcoin, is the biggest loser in the top 100 with a loss of 21.27 percent.