Why is Bitcoin price down 30% from its all time high?

For seven consecutive weeks, Bitcoin Price experienced several retraces, going from its peak of $ 109,000 in January to a lower March 11 of around $ 77,000.

The decrease resulted in a loss of approximately 30% bitcoin (BTC) Value and a significant drop in the wider market of cryptocurrencies. During the last month, Ethereum (Ethn) fell 29%, while Solana (GROUND) and Dogine (DOGE) have suffered even more serious losses by 40% and 38%, respectively.

According to a March 11 report By the intelligence platform of the Santiment market, Bitcoin crises began after the main stakeholders began to make profits in mid-February, triggering a wave of sales.

From February 20 to March 8, 22,702 BTC (nearly $ 1.8 billion at current rates) were moved from private wallets to exchanges. This trend implies that investors were preparing to sell, which increased downward pressure.

At the same time, the accumulation of whales, which had fueled the rise of Bitcoin after the election of Trump, slowed considerably after its inauguration. Institutional buyers who had bought BTC aggressively between November and January began to reduce their exhibition in February. While some of these high shuttle investors resumed the purchase on March 3, the market has not yet seen a significant rebound.

There has also been an important change in the feeling of investors. An increasing number of Bitcoin Bishard price Projections can be seen in social media data, and many retail investors who entered the market at the end of 2024 were sold at a loss. The average short -term loss for Bitcoin merchants is currently -11%, according to the health study, while long -term holders have lost -5% in the last 12 months.

In addition to the internal market factors, macroeconomic uncertainty has also increased on cryptocurrency. Investors are still alarmed by Trump’s new price policies And the possibility of worsening the trade war, which has caused greater volatility for the digital asset markets.

Although the initial excitement has been triggered by the pro-Crypto position of the administration, concerns about the speed with which policy and regulatory implementations may take place attenuated.

Bitcoin is currently at the price of about $ 77,200 in March 11, down 4% compared to the day before. Meanwhile, Arthur Hayes, co-founder of Bitmex, believes This bitcoin can fall to around $ 70,000, which would be a correction of 36% compared to its peak and in accordance with the previous upper market retraction.

He stressed that monetary easing by central banks such as the Federal Reserve, the PBOC, the ECB and the Boj would likely come after a new drop in American stock market clues, such as the S&P 500 and the NASDAQ.

Many investors opposed to risks could wait for central assistance from the bank to prevent prolonged lateral movements and unpaid losses. However, traders should consider buying the DIP, according to Hayes. If the support of $ 78,000 does not hold, it previously predicted that Bitcoin could fall to $ 75,000.