In early Asian trading on December 1, 2025, Bitcoin plunged as much as 4.3% — dropping below $88,000 — extending a sharp downturn that began in November.
The sudden slide triggered a cascade of forced liquidations: long-position traders bore the brunt, with hundreds of millions of dollars wiped out within minutes. According to reports, the rapid sell-off erased last week’s gains and renewed bearish pressure on the entire crypto market.
Analysts suggest that the drop was driven not by any single major news event, but by technical factors: weakening appetite for risk assets, lack of fresh buyers, and fragile liquidity — conditions that left Bitcoin vulnerable to even modest downward pressure.
The downturn in Bitcoin also cascaded onto other cryptocurrencies: Ethereum slid more than 6%, while many altcoins followed suit.
This latest rout underscores the harsh reality of leverage in the crypto world: when sentiment sours, price swings can quickly cascade into large-scale liquidations, wiping out both profit and capital.
As of now, traders and investors are carefully watching whether Bitcoin finds support in the $80,000–$85,000 zone — a level many consider critical for potential stabilization.