Key Takeaways
- • Bitcoin fell below $70,000 to $69,000 early Friday, its lowest level since Aug. 19, and is down 17% for the quarter, according to CoinDesk data.
- • Crypto exchanges liquidated more than $1.3 billion in futures positions over 24 hours, including $677 million tied to bitcoin, per Coinglass data cited in the reports.
- • The Dollar Index (DXY) rose above 103, its highest since April 2025 and up nearly 2% since early October, raising expectations of Fed rate hikes.
- • Ether dropped below $2,000 for the first time since August, while XRP, Solana and several smaller tokens also declined sharply.
Summary
Bitcoin fell below $70,000 early Friday, touching $69,000 and marking its lowest level since Aug. 19, according to CoinDesk. The token is down 17% this quarter, reversing a significant share of gains recorded over the previous three months. The broader crypto market weakened in parallel, with ether trading below $2,000 for the first time since August, XRP near $1, Solana below $80, and smaller tokens including GT, Stacks and XMR falling 7% or more.
The selloff coincided with a stronger U.S. dollar. The Dollar Index traded above 103, its highest level since April 2025, and has risen nearly 2% since early October. Traders pointed to stronger odds of Federal Reserve rate increases, following a hotter-than-expected U.S. consumer price index reading for October released earlier in the week. The probability of a half-percentage-point Fed rate hike in December has risen, adding pressure on liquidity-sensitive risk assets.
Geopolitical tensions also weighed on sentiment. Reports pointed to renewed military escalation in the Middle East, including an Iranian IRGC claim that it destroyed a U.S. early-warning radar in Bahrain in response to an air attack on a telecoms tower in Sirik, with remarks carried by the semi-official Tasnim news agency.
Leverage amplified the move. According to Coinglass data cited in the reporting, exchanges liquidated more than $1.3 billion in crypto futures positions over 24 hours, including $677 million tied to bitcoin. Nearly $500 million of those liquidations occurred as BTC fell below $70,000, highlighting how heavily the market was positioned with leverage. Tradersunion reported the decline alongside a broader Nasdaq-100 selloff.
The selloff coincided with a stronger U.S. dollar. The Dollar Index traded above 103, its highest level since April 2025, and has risen nearly 2% since early October. Traders pointed to stronger odds of Federal Reserve rate increases, following a hotter-than-expected U.S. consumer price index reading for October released earlier in the week. The probability of a half-percentage-point Fed rate hike in December has risen, adding pressure on liquidity-sensitive risk assets.
Geopolitical tensions also weighed on sentiment. Reports pointed to renewed military escalation in the Middle East, including an Iranian IRGC claim that it destroyed a U.S. early-warning radar in Bahrain in response to an air attack on a telecoms tower in Sirik, with remarks carried by the semi-official Tasnim news agency.
Leverage amplified the move. According to Coinglass data cited in the reporting, exchanges liquidated more than $1.3 billion in crypto futures positions over 24 hours, including $677 million tied to bitcoin. Nearly $500 million of those liquidations occurred as BTC fell below $70,000, highlighting how heavily the market was positioned with leverage. Tradersunion reported the decline alongside a broader Nasdaq-100 selloff.
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