Why Bitcoin lost its $100,000 floor: Everything that happened in cryptocurrencies today

Bitcoin was trading at $100,640.15 at press time, down 5.6% in the past 24 hours, after briefly falling below the $100,000 reference price on Binance futures for the first time since June 23.

The selloff wiped billions of dollars from the broader crypto market as traders grappled with a three-month strong dollar, falling stocks and a fourth straight day of spot ETF outflows totaling about $1.34 billion.

The dollar index rose 0.3% in the past 24 hours to 100.215 as the market reassessed the possibility of a short-term interest rate cut by the US Federal Reserve.

Stock markets fell after CEOs of major banks warned that stock prices could see a 10-15% correction. This combination of dollar strength and risk-off sentiment in traditional markets typically compresses the risk premium for cryptocurrencies.

Bitcoin has been in the midst of a macro shift due to its correlation with tech stocks and sensitivity to a strong dollar.

According to data from Pharcyde Investors, US spot Bitcoin ETF flows have turned decisively negative in the past four times, with cumulative outflows reaching approximately $1.34 billion.

Approximately $186.5 million was out of products in the most recent trading day, with BlackRock’s IBIT accounting for the total outflow, while competing ETFs had zero net activity.

The sustained exit pattern reflects a change in institutional positioning as traders weigh the macro environment and Bitcoin’s near-six-digit valuation.

Leverage has exacerbated the overall downturn in the cryptocurrency derivatives market. According to data from Coinglass, $1.3 billion in futures positions were liquidated in the past 24 hours, of which long positions accounted for about $1.1 billion. This is the second day in a row that the liquidation amount exceeds $1 billion.

The forced release of leveraged bets accelerated Bitcoin’s decline, creating cascading selling pressure and pushing the asset closer to the $100,000 support level.

Futures markets often amplify spot movements during periods of high volatility, and the size of the washout marks one of the most significant liquidation events in recent weeks.

Altcoins fall following Bitcoin

The broader cryptocurrency market reflected Bitcoin’s losses, with major tokens falling by single-digit percentages.

Ethereum fell 8% in the past 24 hours to trade at $3,328.12, while BNB fell 7.7% to $917.20. Solana fell 7% to $154.48 and XRP fell 5% to $2.18. Dogecoin fell 6.3% to $0.1570, while Cardano fell 6.7% to trade at $0.5153.

The selloff was driven by new security concerns in the decentralized finance sector.

The Balancer V2 exploit resulted in $110 million to $128 million being leaked across multiple chains, and the subsequent emergency network outage and hard fork of VeraChain made sentiment across the protocol and token cautious.

While DeFi incidents typically limit the damage to a particular ecosystem, the timing of the exploitation added a gentle headwind to a crypto market already battling macro pressures and negative trends.

Bitcoin loses the $100,000 level as a strong dollar, weak stocks, institutional outflows, and derivatives liquidations converge to form a technical setup that overwhelms short-term support.