Bitcoin Breaks Below $64,000 as Four Negative Factors Rock the Crypto Market

▲ Bitcoin (BTC), decline, bear market/ChatGPT-generated image ©

Extreme fear spread rapidly among investors, causing the cryptocurrency market to shrink by more than 4% in a single day to $2.23 trillion. As market leader Bitcoin (BTC) led the decline and the Fear and Greed Index plunged to 14, signaling extreme fear, four critical negative factors—from massive sell-offs by mining companies to macroeconomic tariff shocks—surfaced and shook the market.

According to crypto media outlet CoinPedia on February 23 (local time), the first major trigger behind today’s market slump was the surprise full liquidation by Bitcoin mining firm Bitdeer. The company sold all 943 Bitcoins held in reserve, along with newly mined coins, reducing its balance sheet holdings to zero. Adding to the downward pressure, Ethereum (ETH) co-founder Vitalik Buterin also sold more than 7,000 ETH worth approximately $15.5 million in recent weeks.

The second reason stems from global tariff fears sparked by U.S. President Donald Trump. On February 21, President Trump announced plans to raise tariffs on all imported goods worldwide from 10% to 15%. The move came shortly after the U.S. Supreme Court ruled that his broad exercise of tariff authority was unlawful, a decision he fiercely criticized as absurd and anti-American. The aftermath triggered heavy selling across risk assets, including cryptocurrencies.

The third factor behind the drop was a massive $466 million liquidation event. As Bitcoin collapsed below the key support level of $66,000, intense panic swept the market, triggering cascading liquidations of long positions. In the past 24 hours alone, more than 136,000 traders lost their positions, with forced liquidations of long bets surging to $433.65 million, exponentially amplifying market losses.

The fourth and final reason was the chain reaction decline of altcoins, which fell even more sharply in tandem with Bitcoin’s drop. As Bitcoin plunged nearly 5% to around $64,375, the broader market crumbled like dominoes. Ethereum fell 5.5% to below $1,870, Solana (SOL) dropped to $77, and XRP (Ripple) sank to $1.33.

In addition, major altcoins such as Tron (TRX), Chainlink (LINK), Cardano (ADA), and Dogecoin (DOGE) posted steeper losses ranging from 6% to 10%. The combination of Bitcoin’s weakness and intensified selling pressure across the altcoin market ultimately acted as the final catalyst for today’s sweeping cryptocurrency market crash.

Disclaimer: This article is provided for investment reference purposes only and does not assume responsibility for any investment losses based on its content. The information herein should be interpreted solely for informational purposes.