Bitcoin Drops Below $110K As Ether Plunges 8%
Bitcoin drops below $110K
The crypto market faced another steep selloff on Monday after a failed recovery attempt from the weekend’s flash crash. Bitcoin (BTC) slipped under the $110,000 level — its lowest in seven weeks — raising concerns about the fragility of recent bullish momentum.
BTC traded near $109,700, down 2.7% in 24 hours and about 7% below its recent peak above $117,000. That earlier rally followed dovish remarks from Fed Chair Jerome Powell at Jackson Hole but quickly faded as selling pressure intensified.
Ether and altcoins tumble
Weakness wasn’t limited to Bitcoin. Ethereum (ETH) plunged nearly 8% in the last 24 hours, dropping below $4,400 — its sharpest decline in more than a month, signaling strong profit-taking by both retail and institutional investors.
Other major altcoins also fell sharply: Solana (SOL), Dogecoin (DOGE), Cardano (ADA), and Chainlink (LINK) all lost between 6–8%, unable to withstand the broad selloff.
$700M in leveraged liquidations
The derivatives market saw nearly $700 million in leveraged positions wiped out in just one day. Of this, about $627 million came from long bets, showing traders were overly optimistic about a rebound but were caught off guard by the renewed decline.
Why the market is fragile
Several factors explain the current fragility:
• ETF outflows: Bitcoin ETFs recently recorded withdrawals, showing institutional caution.
• Seasonal weakness: September has historically been the weakest month for BTC and ETH, with average losses of 3.77% and 6.42%.
• Macro pressures: A stronger U.S. dollar, inflation concerns, and geopolitical risks continue to weigh on crypto.
• Retail fatigue: After strong gains earlier this year, retail enthusiasm has cooled, making the market more sensitive to whale activity.
What’s next for Bitcoin and Ethereum?
Analysts warn that BTC must hold above $110,000 support or risk sliding toward $107,000–$105,000. Ethereum, meanwhile, needs to defend $4,300 to avoid deeper declines.
On the positive side, institutional accumulation of BTC and ETH remains ongoing, Ethereum staking demand stays strong, and global adoption of stablecoins and CBDCs continues to grow.
Still, with sentiment weak and liquidations mounting, caution is essential — especially for traders using leverage.
Disclaimer: This article is intended solely to provide information and market insights at the time of publication. We make no promises or guarantees regarding performance, returns, or the absolute accuracy of the data. All investment decisions are the sole responsibility of the reader.