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    Bitcoin value plunges over $12,000 in two days, sparking market turmoil and record ETF outflows

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    Bitcoin has experienced a considerable drop in value over the course of two days, exceeding $12,000. This has caused concern among crypto traders and market experts who are bracing for potentially further declines. The slump has seen an extraordinary amount of crypto being liquidated, with US-based Bitcoin exchange-traded funds seeing a record cash outflow of $679 million. The fall in Bitcoin prices is being attributed to changes in the US macro policy and the Federal Reserve scaling back its expected interest-rate decline for 2025. Currently, Bitcoin is trading around the $97,000 mark.

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    Bitcoin or BTC is facing a setback as something big on a global scale has put a halt to its growth streak. In just two days, the bitcoin price has seen a massive decline, exceeding $12,000. Right now, a lot of crypto traders and market experts are preparing for even lower prices tagged for bitcoin.

    Familiar with the term “the dip”? Apparently, BTC going down to $90,000 didn’t even qualify as that. On December 19, bitcoin suddenly plummeted to $96,000, freaking out both casual and big-time investors. According to the data from CoinGlass, in just 24 hours after that, the total amount of crypto gets liquidated, reaching up to $900 million.

    UK-based Farside Investors has also discovered another shocking fact – US Bitcoin exchange-traded funds saw a mega record of cash outflows at $679 million! While this may have helped contain too much speculation, those who’ve been in the market for a long time are worried that the worst is yet to happen.

    BitQuant, a known commentator in the X platform, is well-known for optimistic bitcoin projections, confidently saying it will hit $95,000 before breaking this year’s record in March. Recently, BitQuant stated in the posts that the fall in Bitcoin’s price will go even deeper and the drop to $90,000 was definitely not the lowest it can go.

    Have you seen the chart uploaded on the 10th of December? It demonstrates the possible fall in bitcoin’s price down to the mid-$80,000 range, and more. If you’re not interested to buy bitcoin in its next potential fall, you might as well chill out and enjoy life until it regains its momentum.

    Even lower price forecasts for Bitcoin come from the onchain data platform, Whalemap. They examined areas where major accumulation took place after the latest drop and marked a spot of interest 30% below the current spot price. “Major Bitcoin accumulation ranges between 60k-67k, with a new range being formed at current prices,” Whalemap mentioned on X.

    Moreover, Bitcoin and other cryptocurrencies are considered extremely vulnerable assets. Following changes in the US macro policy, this has led to a shorter rally in risk-assets that many considered unusually irrational.

    The Federal Reserve triggered the reversal of this rally by scaling back its expected interest-rate decline for 2025 due to inflating markers. A trading firm, QCP Capital, blames the market’s overly bullish positioning as the root cause of the crash.

    For now, Bitcoin is trading in the area of $97,000 according to Cointelegraph Markets Pro and TradingView data. Sure, every investment and trading move is risky, but remember to do your own research in making a decision.

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