The crypto market is going through a new phase of uncertainty, and Bitcoin is becoming the biggest victim of the times. The $93,000 critical level is a boundary that, if breached, could lead to liquidations of up to $1.3 billion. If the market falls below this threshold, a domino effect could begin that will create even more selling pressure.
How is Bitcoin doing now?
Bitcoin tried to regain bullish momentum after breaching the $100,000 level, but it has not been successful yet. Experts say that if BTC falls below $93,000, massive liquidations could occur, which could push the price further down. Bitget Research chief analyst Ryan Lee says that if the price breaks below $90,500, a strong bearish sentiment could emerge in the market.
Psychological Pressure of $93,000
Whenever a crypto asset is near a major support level, traders keep an eye on it. According to Coinglass data, if Bitcoin falls below $93,000, large-scale automatic liquidations could begin, which would push the price further down. Its biggest impact will be on highly leveraged traders, who may be forced to close their positions forcefully.
Impact of Trade War on Crypto Market
There is not just one reason for the fall in the market. Trade war between US-China is also a major factor. The US has imposed new tariffs and restrictions, which are impacting the exports of Chinese products. Its direct impact is also on global financial markets, including crypto.
Bitcoin has gone below $96,500 – panic has increased in the market due to the trade war.
Global investors are becoming cautious – stopping new investments or shifting to safe-haven assets (gold, bonds).
It could be good for Bitcoin in the long-term – some experts believe that if the US dollar weakens, people could move towards alternative assets like Bitcoin.
What could happen next?
The direction of the market will largely depend on the outcome of the trade talks between Donald Trump and Xi Jinping. If the negotiations fail, Bitcoin could go even lower.
But if macro conditions change in Bitcoin’s favour, it could also trigger a new bull run. James Wo (CEO, DFG) says that if fiat currencies weaken, investors could adopt crypto as an alternative asset.
Advice for investor
If you are a crypto trader, here are some important strategies that can help you in this uncertain market:
✅ Avoid leverage trading – High leverage is risky, especially when the market is volatile.
✅ Make sure to place stop-losses – Use stop-losses to protect your positions from liquidation.
✅ Diversify – Don’t depend only on Bitcoin, rather distribute your investments in multiple assets.
✅ Keep an eye on market news – Follow global economic events and Bitcoin price movements closely.
Final Verdict
Bitcoin is currently at a decisive moment. If the $93,000 level is broken, massive liquidations can occur. But in the long-term, there are chances of increase in demand for Bitcoin due to macroeconomic factors and trade war. There are both possibilities in the crypto market – either a new bear cycle can start, or a new bull rally can begin. This is the time for investors to adopt a smart and cautious approach!