Bitcoin fell 6% to $75,700 and ether dropped 7% as a Nasdaq selloff spilled into crypto, triggering $1.03 billion in liquidations. The cascade size indicates overleveraged positioning now forcibly cleared.
The current Fear & Greed reading of 28 sits well below the 51 thirty-day average. When Nasdaq sells off sharply, crypto perpetual futures face immediate pressure from algorithmic funds reducing risk across both equities and crypto, while retail long positions funded with equity gains hit margin calls. Most forced selling happens in the first wave as automated exchange liquidation engines clear underwater positions.
Short Bitcoin on a 24-48 hour horizon targeting $72,000-$73,000 if Nasdaq futures gap down at the next U.S. open. Enter on a confirmed breakdown through the prior session low or if Fear & Greed drops below 25. Size conservatively — a $1 billion liquidation clears air quickly and reversal risk is real if equity markets stabilize.
The call invalidates if Bitcoin reclaims $77,000 or if Fear & Greed rebounds above 35 within 12 hours. A sharp equity reversal also kills the setup, as short covering can be violent after large liquidations. If equities stabilize or rally, the liquidation flush likely marked the bottom.
Source: Bitcoin fell 6% to $75,700 and ether 7% as a Nasdaq selloff hit crypto, triggering $1.03 billion in liquidations.
Source: The Block