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Bitcoin Whipsaws After Testing $60,000 as $2 Trillion Vanishes From Crypto Market

Leverage unwinds following heavy ETF redemptions drove the slide, with fragile rebounds reflecting thin liquidity.

Overview

  • Bitcoin hit a 16-month intraday low near $60,008 before bouncing to about $64,000–$65,000, leaving it more than 50% below its October peak.
  • CoinGecko data show roughly $2 trillion erased from crypto valuations since early October, with over $1 trillion lost in the past month.
  • Deutsche Bank reported sustained outflows from U.S. spot bitcoin ETFs, totaling about $7 billion in November, $2 billion in December, and more than $3 billion in January.
  • CoinGlass tracked roughly $1 billion of bitcoin liquidations in 24 hours, while sentiment gauges slumped into extreme fear as derivatives positioning turned defensive.
  • The drawdown coincided with a tech-stock rout and metals volatility, and shares of crypto-exposed firms such as Strategy (formerly MicroStrategy) fell to multi-year lows.