On November 24 (UTC+8), the cryptocurrency market experienced a dramatic shakeup. The Bitcoin price plunged from its all-time high of $126,000 in early October, dropping as low as the $80,000 mark. This represents a decline of more than 30% from its peak, marking the lowest level in nearly seven months.
According to CoinMarketCap data, as of November 24, Bitcoin rebounded to $87,401.37, posting a 24-hour gain of 1.61%. However, this sharp sell-off liquidated nearly 110,000 traders in the past 24 hours, with the total liquidation amount reaching staggering levels.
01 Price Action: Sharp Decline and Rebound
Bitcoin continued to slide in late November, briefly touching the $80,000 threshold and setting a new seven-month low.
As of November 24, Bitcoin was quoted at $86,961, up 2.91% on the day, though it still posted a 7-day loss of 8.32%.
This volatility has erased all of Bitcoin’s gains for the year.
Looking at a longer timeframe, Bitcoin’s current price is down more than 30% from its record high of $126,000 in early October.
This steep correction has impacted not only Bitcoin but the entire crypto market.
02 Market Impact: Altcoins Hit Even Harder
Bitcoin’s downturn triggered a widespread slump across the crypto market. Ethereum was recently quoted at $2,805, down 10.12% for the week and a hefty 26% for the month.
Tokens such as SOL, BNB, and Dogecoin were also hit hard, each falling by more than 20%.
Not all tokens are in decline, though. According to CoinMarketCap data as of November 24, some tokens posted impressive gains.
HBAR surged 10.73% in 24 hours, PLANCK soared 57.86%, and TNSR jumped 54.21% over the same period.
This mixed market performance shows that even in a bear market, capital continues to seek opportunities.
03 Liquidation Wave: The Cost of High Leverage
Coinglass data reveals that during this downturn, total crypto derivatives liquidations exceeded $1 billion in 24 hours, with 183,500 traders affected.
As of November 24, nearly 110,000 traders were liquidated in the past 24 hours, while another source reported almost 120,000 liquidations.
This massive wave of liquidations is primarily due to the leveraged nature of contract trading. When prices drop sharply, investors can be forced to close positions if their margin falls short.
04 Causes of the Crash: Multiple Factors at Play
Industry experts attribute the deep correction to a combination of factors.
On the macro front, expectations for a Federal Reserve rate cut in December have faded, and anticipated tightening of liquidity has weighed on risk assets.
eToro analysts also noted a strong negative correlation between Bitcoin and the US Dollar Index. As risk appetite cools, Bitcoin faces increased pressure.
From a capital perspective, institutional funds that previously supported Bitcoin’s rally are showing signs of withdrawal.
After the US election, expectations for crypto-friendly policies have cooled. Coupled with a correction in tech stocks, sentiment has shifted, cutting off the incremental capital that once propelled Bitcoin past $100,000 and leaving the market without a core support.
According to Alphractal CEO Joao Wedson’s analysis on November 22, excessive long positioning by investors is another key factor behind the crash. Across 19 exchanges, approximately 71,000 BTC were held in long positions, while only 27,900 BTC were dedicated to shorts.
This imbalance left the market vulnerable. When prices began to fall, it triggered a chain reaction of liquidations.
05 Institutional Views: Growing Divergence
Experts are divided on Bitcoin’s outlook.
Gao Zelong, digital economist and deputy director at the Beijing Consensus Blockchain Research Institute, believes the $80,000 support level warrants close attention in the short term.
If the $80,000 level holds, the market may see a rebound, but the strength and duration of any recovery remain uncertain.
If $80,000 is decisively breached, Bitcoin could fall further, searching for new support.
Technical analyst Ali Martinez points out that Bitcoin’s 2-year moving average, around $81,250, is a critical level. Historically, breaking below the 730-day moving average often signals the start of a bear market.
Yuan Shuai, co-founder of the New Intelligence Production Power Salon, notes that over the medium to long term, Bitcoin’s price will continue to be driven by macro liquidity, institutional participation, and regulatory policy.
06 Investment Advice: Cautious Positioning
Experts urge investors to exercise greater caution in the current environment.
Gao Zelong advises investors to assess risks rationally and recognize the high-risk nature of the crypto market, warning against blindly following the crowd.
In volatile conditions, it’s important to position cautiously and avoid overcommitting funds—especially capital you cannot afford to lose.
Yuan Shuai recommends strictly controlling position sizes and avoiding high leverage to mitigate the risk of liquidation during extreme market moves.
He also suggests monitoring macro and policy signals, maintaining a rational mindset, and not chasing short-term price swings.
The eToro analyst team adds that while short-term pressures may persist in the coming weeks, a more favorable environment could emerge if global liquidity improves.
They expect liquidity to rebound in 2026, driven mainly by the Federal Reserve’s easing policies and increased fiscal flows.
Outlook
Technical analyst Ali Martinez warns that if Bitcoin falls below the 2-year moving average of $81,250, it could signal the start of a prolonged bear market.
Each major correction in the crypto market helps to flush out excess speculation and leverage, creating space to better understand the industry’s fundamentals.
After the dust settles, whether the $80,000 support holds will be key to Bitcoin’s short-term fate.
