Crypto Market Crash: Bitcoin Falls Below $100K Amid High Liquidations  

• Bitcoin’s price dropped to $98.8K after hitting an ATH of $103.9K earlier this month.  
• Bhutan sold $40M in Bitcoin, and Justin Sun dumped $119M in Ethereum, intensifying selling pressure.  
• Over $509M was liquidated in the crypto market, fueling volatility and bearish sentiment.  

The crypto market experienced a sharp downturn as Bitcoin, after weeks of rallying, fell below the critical $100K mark. The price dropped to $98.8K following its recent all-time high of $103.9K, recorded just days after Donald Trump’s victory in the U.S. elections. The pullback has unsettled investors, raising concerns about the sustainability of the ongoing bull run.  

This market correction also impacted major altcoins, with most struggling to hold their gains. However, exceptions like PEPE and X Empire managed to buck the trend. PEPE reached a new all-time high, while X Empire surged by 47% over the week despite market turbulence.  

The market’s sharp decline comes as several key developments exert pressure on the crypto ecosystem. The Bhutan government’s sale of $40 million worth of Bitcoin has added selling pressure. Concurrently, Coinglass reports indicate that 204,384 traders liquidated a staggering $509.48 million in the past 24 hours, further amplifying market volatility.  

Adding to the turmoil, Ethereum faced notable selling pressure as Justin Sun reportedly dumped $119 million worth of ETH after the token touched the $4K milestone earlier in the day. The subsequent price dip of 3% in Ethereum reflects the broader uncertainty gripping the altcoin market.  

Moreover, the upcoming expiration of 39,960 Bitcoin options contracts on December 27 has created further unease as traders anticipate heightened volatility. Compounding these issues, the compromise of the Cardano Foundation’s social media account has fueled negative sentiment, weighing on investor confidence.  

While the market downturn raises questions about the future of the bull run, analysts suggest this pullback might be temporary. Some view it as a routine consolidation after extended rallies, with Bitcoin’s dominance declining and altcoin strength potentially rising. Although down from earlier highs, the Altcoin Season Index signals a shift in market dynamics.  

Upcoming economic data releases, including the Federal Reserve’s CPI and PPI reports, could significantly influence the market’s future. Despite current challenges, the crypto market remains a focal point for investors, with opportunities arising as prices dip.