Bitcoin Drops Below $74,000 After Billion-Dollar Liquidations
Nvidia probe and US regulatory uncertainty pressure crypto markets and trigger ETF outflows.
The price of Bitcoin fell to $73,477 overnight, hitting its lowest level since August. This movement triggered the liquidation of over $1 billion in leveraged positions across the crypto market. Most of these losses stemmed from long positions that were closed abruptly.
Instability was exacerbated by an internal investigation involving Nvidia. The market reacted with caution because the company is considered a key barometer for risk assets tied to artificial intelligence. The drop in the company's stock price dampened global investor sentiment.
The regulatory landscape in the United States also brought additional uncertainty. The possibility of stricter oversight from Congress, especially with critics of the sector occupying banking committees, worries the market. Analysts note that passing industry-friendly legislation has become more complex.
Bitcoin exchange-traded funds in the United States recorded $1.28 billion in outflows last week. This marks the second consecutive period of redemptions and the highest volume recorded since late June. Institutional selling pressure prevented the asset from keeping pace with the recovery seen in other sectors of global stock markets.
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