Three major reasons behind Bitcoin price suddenly falling below $80,000

Many analysts said that this week’s decline in Bitcoin prices below the $80,000 level was not a random trend, but the result of three major pressure factors simultaneously pushing the market into a wave of sharp selling.

After rising above $82,000, the currency quickly fell below $79,000 before settling around $80,000.

Network data showed signs of weakness early on, with withdrawal traffic on the trading platform reducing to only about 20,000 Bitcoins, well below the May average, meaning there is still a lot of currency on the platform and the available supply has increased.

Meanwhile, bearish bets have increased in derivatives markets, with open interest rising and funding rates turning negative, reflecting rising short positions and growing pressure on leveraged investors.

With the release of U.S. inflation data, the market encountered a large-scale wave of liquidation. The amount of long positions liquidated within three days was approximately US$110 million, becoming the main driving force for the decline.

Analysts also said that whales sold approximately 7,650 Bitcoins worth approximately $616 million during the decline, further adding to market pressure.

Despite the recent decline, Bitcoin’s price is still up about 7% over the past 30 days, but is still more than 36% below its highest all-time level recorded in October 2025.

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