- Bitcoin falls below $69,000 as $1.44 billion in ETF outflows and shrinking stablecoin supply weaken market demand.
- Traders now watch $68,000 as the next critical support level.
Bitcoin has fallen below $69,000 as ETF investors withdraw billions of dollars and stablecoin supply shrinks, leaving less capital available to absorb selling pressure. But liquidations are only part of the problem. Spot buyers are not stepping in strongly enough to support prices, allowing the sell-off to continue.
The weakness extends across the crypto market, which has lost approximately $550 billion in total value since early October, falling from $2.94 trillion to $2.39 trillion. Ether has also dropped below $2,000, reaching approximately $1,983 as selling pressure spreads across major cryptocurrencies.
Bitcoin Liquidations Reach $1.41 Billion as Long Traders Face Heavy Losses
Bitcoin’s fall below $69,000 triggered approximately $1.41 billion in crypto liquidations within 24 hours. Around 172,900 trading positions were closed, with long positions accounting for $1.26 billion, or 89% of the total.
Bitcoin-related liquidations reached $742 million, and bullish positions accounted for 96% of those closures. Ether recorded another $251 million in liquidations, with long positions making up 90.4%.
The selling became particularly intense during one four-hour period, when more than $745 million in leveraged positions were wiped out. These liquidations happen when traders can no longer meet margin requirements, forcing exchanges to close their positions automatically.
Each forced closure adds more selling to the market. As prices fall, other leveraged traders move closer to liquidation, creating a cycle that can accelerate losses within a short period.
However, the latest decline is exposing a problem that liquidations alone cannot explain. Even after billions of dollars in leveraged positions were cleared, spot buyers have not returned in sufficient numbers to absorb the selling.
Bitcoin ETFs Lose $1.44 Billion as Stablecoin Supply Contracts
Withdrawals from U.S. spot Bitcoin ETFs have added to the selling pressure. The funds recorded approximately $1.44 billion in net outflows across five consecutive trading sessions through November 11.
The withdrawals continued in the latest session, with investors pulling $299.9 million from the funds. BlackRock’s IBIT accounted for approximately $269.7 million of that amount.
Ethereum investment products are also facing persistent withdrawals. They were heading toward a seventh consecutive week of outflows, with more than $2.1 billion leaving during the period.
Stablecoin supply is providing another warning sign. Major dollar-backed stablecoins lost approximately $14.2 billion in supply over 30 days through November 9. This was their fastest contraction since June 2022.
The decline matters because stablecoins provide capital that investors can use to enter cryptocurrency markets. When their supply contracts, it suggests that money is leaving the market rather than waiting on the sidelines for buying opportunities.
Bitcoin’s apparent demand also dropped by approximately 284,000 BTC over a comparable period. With ETF investors withdrawing funds and stablecoin supply shrinking, the market has fewer sources of fresh capital to support prices.
Bitcoin Whales Show Mixed Buying Activity
Not all Bitcoin holders are responding to the decline in the same way. Wallets holding between 100 and 10,000 BTC recorded net accumulation during the week ending November 9.
Their seven-day Accumulation Trend Score moved above 0.5, indicating that this group was adding to its Bitcoin holdings. However, the buying remains limited to a specific group of investors rather than reflecting broad accumulation across the market.
Wallets holding more than 10,000 BTC and those with less than 1 BTC continued reducing their balances. This contrast suggests that larger and smaller holders are still reluctant to increase their exposure despite lower prices.
Short-term holders are also facing mounting losses. Their average purchase price stands near $75,600, leaving approximately 65% of their Bitcoin holdings below their cost basis.
Meanwhile, Bitcoin futures open interest on Binance declined from approximately $10.6 billion to $8.8 billion in about a month. The 17% reduction suggests that some leveraged positions have already left the market, although futures trading activity remains tilted toward sellers.
Will Bitcoin Hold the $68,000 Support Level?
Bitcoin’s next major test is around $68,000, where trading data shows a concentration of potential buying interest and liquidation positions.
Order-book analysis places significant bid support between $68,000 and $72,500. Buy orders have exceeded sell orders in every hourly period within 5% of Bitcoin’s spot price since November 5.
However, the presence of buy orders does not guarantee that Bitcoin will hold this range. Traders can cancel their orders, and liquidation maps only show where leveraged positions could be closed. They do not confirm how much actual buying demand will remain when prices reach those levels.
A recovery would also face resistance near $83,600, where sell orders are concentrated. Before reaching that level, Bitcoin would need to regain the 200-day moving average near $73,200, which it has already broken below.
Another on-chain valuation measure, CVDD, places a potential long-term reference level near $52,700. Previous Bitcoin cycle lows in 2015, 2018, 2020 and 2022 formed close to this measure, although it moves with on-chain activity and does not predict where the current decline will end.
For now, the $68,000 level remains a critical test. But holding it may not be enough to trigger a lasting recovery. Bitcoin needs ETF withdrawals to slow, stablecoin supply to expand and spot buyers to return. Without those changes, the market could continue struggling to absorb selling even after much of the excess leverage has been cleared.
ALSO READ: Deutsche Bank Launches Crypto Custody for Bitcoin, Ethereum and Stablecoins in Europe
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