Bitcoin Drops Below $86,000 Amidst Institutional Concerns and Leveraged Liquidations

Bitcoin’s price experienced a significant drop below the $86,000 mark in December 2025. The decline is attributed to factors including macroeconomic shifts, particularly from the Bank of Japan’s policy changes. These actions triggered market instability, leading to rapid losses and raising concerns amongst investors. This event highlights the vulnerability of crypto markets to macroeconomic influences, specifically leveraged positions and their impact on price movements.