Bitcoin Falls Below $63K, Down 50% from October Record High
Bitcoin has slipped below the key level of 63,000 dollars, marking a sharp fall of nearly 50 percent from its October record high. The drop has shaken short term traders and raised fresh questions among long term investors.
The leading cryptocurrency, which once traded near 126,000 dollars in October, is now facing heavy selling pressure. The recent decline shows how quickly sentiment can change in the crypto market.
Data from major exchanges shows that trading volume has increased during the fall. That usually means panic selling and liquidations are happening at the same time. Market watchers say billions of dollars in leveraged positions have been wiped out in recent sessions.
According to a report published by Investing.com, Bitcoin slipped below 63,000 dollars as risk appetite weakened across global markets. Concerns around macroeconomic conditions and tighter financial policies are weighing on speculative assets.
So, what is happening to Bitcoin right now, and what should investors know?
Bitcoin Price Crash Explained: Why Is Bitcoin Falling Below 63K
What triggered the latest Bitcoin drop? The fall in Bitcoin price comes at a time when global markets are facing uncertainty. Investors are worried about inflation, interest rates, and slower economic growth. When fear rises, risk assets like cryptocurrencies often face heavy selling.
Bitcoin had reached its October record high after strong institutional interest and positive ETF flows. However, profit taking started soon after. As prices fell below key support levels, automated sell orders added more pressure.
Large holders, often called whales, also moved coins to exchanges. That is often seen as a sign of planned selling.
Is this the first major Bitcoin crash? No. Bitcoin has faced many deep corrections in the past.
Michael Saylor, Executive Chairman of MicroStrategy, compared the current slump to the early tough years of Apple and Amazon. In a report highlighted by Stocktwits, he said that Bitcoin is going through its own wilderness years, similar to what companies like Apple and Amazon faced before becoming giants.
He pointed to the long term growth story. Saylor believes volatility is normal for a new asset class.
Social media reaction
Crypto traders on X are also reacting to the drop. One viral post from NFTBOTX reads:
The post reflects the mixed emotions in the market. Some see fear. Others see opportunity.
How much has Bitcoin lost? At its October peak near 126,000 dollars, Bitcoin had reached an all time high. Now trading below 63,000 dollars, the coin has lost nearly half its value.
Market cap has also dropped sharply. From over 2.4 trillion dollars at peak levels, the total value has fallen significantly as prices declined.
Liquidation data shows that leveraged traders lost billions in long positions. That adds to the downward spiral because forced selling pushes prices even lower.
Key support and resistance levels
Technical analysts are watching the 60,000 dollar level as strong support. If Bitcoin breaks below that, some analysts predict a move toward 55,000 dollars.
On the upside, resistance stands near 68,000 dollars. A recovery above 70,000 dollars could improve short term sentiment.
Macro factors affecting Bitcoin
Several global factors are putting pressure on crypto markets:
• Higher interest rates reduce liquidity
• Strong US dollar makes risk assets less attractive
• Regulatory uncertainty in major markets
• Reduced institutional inflows
Investors often move money to safer assets during uncertain times. That impacts Bitcoin and other digital currencies.
Bitcoin Long Term Outlook: What Investors Should Expect Next
Is Bitcoin still a good investment? Despite the fall, many long term investors remain bullish. Bitcoin has survived multiple crashes before and later reached new highs.
Historically, Bitcoin has shown a pattern. After strong rallies, it faces deep corrections. But over longer time frames, it has trended upward.
For example, after the 2017 peak near 20,000 dollars, Bitcoin fell below 4,000 dollars. Yet it later crossed 60,000 dollars in the next cycle.
Expert predictions for Bitcoin price
Some analysts predict that if macro conditions improve, Bitcoin could recover toward 80,000 dollars in the next cycle. Others warn that if support breaks, prices may fall to 50,000 dollars before stabilizing.
Forecast models based on on chain data show mixed signals. Miner behavior remains stable, which is a positive sign. However, exchange inflows suggest short term selling pressure.
Large institutions are watching carefully. Spot Bitcoin ETF flows have slowed compared to earlier months. That signals cautious sentiment.
What does Michael Saylor believe? Michael Saylor remains one of the strongest Bitcoin supporters. Through MicroStrategy, he has accumulated billions of dollars worth of Bitcoin.
He compares the current slump to early tough years faced by companies like Apple and Amazon. His message is clear: volatility does not kill strong technology.
Saylor argues that Bitcoin is digital property and a hedge against inflation over the long term.
Short term vs long term strategy
Investors should understand the difference between trading and investing.
Short term traders rely on trading tools, technical charts, and momentum signals. Some even use AI stock analysis systems to study market patterns, though crypto markets behave differently from traditional AI Stock research methods.
Long term holders focus on fundamentals, adoption rates, and network growth.
Risks every Bitcoin investor must know
Investing in Bitcoin carries risks:
• High volatility
• Regulatory changes
• Market manipulation
• Security risks on exchanges
Investors should only allocate capital they can afford to lose.
How does this compare to past cycles? Looking at previous cycles gives perspective.
After the 2021 bull run, Bitcoin lost more than 60 percent during the bear market. Yet it later recovered.
Current correction of 50 percent is sharp but not unusual for crypto history.
The difference this time is higher institutional participation. That may reduce extreme crashes, but it does not remove volatility.
Is institutional support still strong? Institutional adoption remains a key factor.
Major asset managers continue to offer Bitcoin exposure through funds. While inflows have slowed, they have not stopped completely.
Large corporations still hold Bitcoin on their balance sheets.
That signals confidence in the long term value of digital assets.
Retail sentiment and fear index
Crypto fear and greed index shows rising fear levels. Historically, extreme fear has sometimes marked buying opportunities.
But timing the bottom is difficult.
How should investors act now? Experts suggest a calm approach. Diversify your portfolio. Avoid using high leverage. Study market data carefully.
Some investors use structured methods similar to AI Stock frameworks to manage risk, but crypto markets require additional caution.
Dollar cost averaging remains a popular strategy. It reduces the impact of short term volatility.
On chain signals to watch
• Exchange inflows and outflows
• Miner selling pressure
• ETF net flows
• Open interest in futures market
These data points help understand market direction.
Final thoughts: Is this the end or a new beginning?
Bitcoin has faced many storms. Each time, critics said it was over. Yet it survived.
The drop below 63,000 dollars is painful for short term traders. But for long term believers, it may be another chapter in Bitcoin history.
Markets move in cycles. Fear and greed drive prices.
Investors should focus on facts, not emotions.
As Michael Saylor suggests, even the biggest technology stories faced wilderness years before success.
The future of Bitcoin depends on adoption, regulation clarity, and global economic trends.
For now, the key question remains: is this correction a buying opportunity, or the start of a deeper bear market?
Only time will tell.
FAQs
Bitcoin dropped below 63,000 dollars due to weak risk appetite, profit taking after its October peak, and macroeconomic concerns like high interest rates.
Heavy liquidations in leveraged trades also pushed prices lower.
Market sentiment turned cautious across crypto markets.
Yes, Bitcoin is nearly 50 percent below its October record high near 126,000 dollars.
The correction reflects normal crypto volatility after a strong rally.
Past cycles show similar deep pullbacks before recoveries.
Historically, Bitcoin has recovered after major corrections.
Recovery depends on global liquidity, institutional inflows, and investor confidence.
Many analysts still see long term growth potential despite short term weakness.
Some investors see price drops as buying opportunities during market fear.
Others prefer to wait for strong support confirmation.
The right decision depends on risk tolerance and long term goals.
The 60,000 dollar level is seen as a key support zone.
If Bitcoin breaks below it, analysts expect further downside pressure.
A move above 70,000 dollars could improve short term sentiment.
Disclaimer
The content shared by Meyka AI PTY LTD is solely for research and informational purposes. Meyka is not a financial advisory service, and the information provided should not be considered investment or trading advice.