Bitcoin Suffers 30% Plunge as Institutional Liquidations Drive Market Volatility

A significant decline in Bitcoin’s price, reaching a 30% drop and wiping out over $1 trillion in market value, has triggered widespread volatility in the cryptocurrency market. The crash is largely attributed to institutional sell-offs fueled by macro shifts and technical signals. Ethereum and Solana also experienced notable declines, reflecting broader market stress. Analysis indicates that $19 billion in margin positions were liquidated, leading to significant outflows from spot Bitcoin ETFs. This dramatic price movement resulted in a surge of fear within the crypto community as reflected by the Bitcoin Fear Index reaching 15 on the index scale.