Bitcoin drops below $100,000

From December 5 to December 6, the number one cryptocurrency experienced a significant drop of more than 13%. The sudden plunge caused Bitcoin to fall from its historical high of over $104,000 to $90,500. However, after that, a "bounce" allowed the currency to recover some of its lost positions, and by the time of writing, it had stabilized at around $98,000.

The rate of decline gradually decreased to 3.8% per day. This may indicate the beginning of a stabilization process after a sharp correction.

Reasons for the drop

According to Rachel Lucas from BTC Markets, the drop in BTC is related to "unloading leverage." High loan rates caused mass liquidations, reaching a record $564 million, the highest since June 2024. Lucas believes that such corrections can help balance the market and lead to stabilization and recovery.

Experts' forecasts

Despite the current volatility, leading venture investors do not see signs of the bull market (bull run) coming to an end. At the recent Emergence conference, they emphasized that the lack of strong retail trader involvement, as seen in previous cycles, could be a key factor supporting long-term growth. This suggests that price growth may continue despite short-term corrections.

Cold calculation or growth in the future?

The drop in the crypto asset has had little effect on other cryptocurrencies—altcoins in the top 10 are showing steady growth. This indicates that the digital asset market remains positive despite Bitcoin's volatility. Analysts are monitoring its dynamics and forecasting potential growth after breaking the $100,000 mark, which could lead to new records in the coming months.