What happened?
Bitcoin slipped below $103,000 after losing the 85th-percentile cost basis near $109,000, putting it under fresh selling pressure. Traders are now watching the next major support around the 75th-percentile near $99,000 as volatility ramps up. At the same time, altcoins fell sharply—gaming tokens, layer-2s, memecoins, and small- and mid-caps all dropped double digits—and ETF inflows and digital-asset treasury activity have largely stalled.
Who does this affect?
This hurts Bitcoin holders, leveraged traders, and investors in altcoins who face bigger percentage losses and higher liquidation risk. Institutional players and treasuries are also affected because more than $19 billion in leverage was flushed and inflows into ETFs and DATs have dried up. Even investors hoping macro easing would lift crypto are seeing liquidity expand elsewhere (like equities) while little of it reaches digital assets, a situation worsened by the U.S. government shutdown’s hit to economic output.
Why does this matter?
If Bitcoin can’t hold the $100K area and retests $99K or lower, that could trigger more selling and a wider market drawdown, driving up volatility across crypto. Without a return of ETF or digital-asset treasury flows, recovery looks unlikely despite broader liquidity expansion, so prices may stay depressed. That raises systemic risk for altcoins and leveraged positions and could delay renewed institutional inflows that are needed to stabilize the market.