The cryptocurrency market faced a sharp downturn amid concerns over new tariffs and stronger inflation data. Bitcoin is now under pressure, potentially making Q1 2025 its worst since 2018.
Market Overview and Bitcoin Positions
Bitcoin's price has sharply declined over the past several hours. According to Coinglass data, nearly $90.56 million in BTC positions were liquidated, including $79.3 million from buyers and about $11.25 million from sellers. This positions Bitcoin for its worst Q1 performance since 2018, when losses amounted to 49.7%, although the current decline is 11.86%.
Price Movement and Trading Sentiments
Bitcoin's open interest has declined by roughly 4.5% in the past 24 hours, indicating declining trading activity among BTC traders. The long/short ratio has experienced a noticeable decline to 0.6051, reflecting increasing bearish sentiment among traders.
Forecasts and Potential Outcomes
Bitcoin has recently experienced increased selling pressure, reducing its price below significant Fibonacci support levels. If buyers fail to overcome the critical barrier at $85,000, Bitcoin could face increased selling pressure, potentially dragging the price toward the support zone between $80,000 and $78,000.
Bitcoin faces significant challenges as sellers aim to keep the price below key levels. This situation could have a notable impact on the cryptocurrency market in the near future.
