GoKawiilBitcoin on Tuesday fell below $70,000 for the first time since April amid deteriorating market sentiment.
The price of the flagship cryptocurrency was last lower by more than 5% at $67,692.76, according to Coin Metrics. That was its lowest level since April 5. Ether declined by 3%, and stocks across the crypto sector were in the red as well. Strategy fell more than 8%. Galaxy lost 4% and Coinbase was down 3%.
The moves began on Monday, when bitcoin and crypto stocks fell after bitcoin treasury pioneer Strategy reported it sold a small amount of the bitcoin it was holding — its first sale since 2022. While it was well telegraphed by the company, the reversal from chairman and founder Michael Saylor's "never sell your bitcoin" mantra spooked investors.
That led to a cascade of long liquidations that accelerated the downside pressure. When leveraged traders betting on higher prices are forced out of their positions, exchanges automatically sell their holdings to cover losses. Crypto exchanges have recorded $594 million in long liquidations over the past 24 hours, according to CoinGlass.