Bitcoin Faces Major Test: Will It Hold $75,000?
Bitcoin’s price is feeling the heat. With global trade tensions on the rise—especially between the United States and China—investor sentiment is taking a hit, and Bitcoin’s price is showing signs of stress. After tumbling over 6.5% in just 24 hours, Bitcoin has slipped below $80,000, raising concerns that the world’s leading cryptocurrency could face a steeper drop. The $75,000 support level is now a crucial line in the sand.
What’s Behind the Bitcoin Slump?
The main culprit behind this price dip is the looming fear of a trade war between the US and China, sparked by the US government’s decision to impose tariffs. This kind of macroeconomic turbulence has historically affected all kinds of markets, and Bitcoin is no exception.
Ryan Lee, chief analyst at Bitget Research, pointed out that Bitcoin’s fall below $80,000 can be directly linked to investor unease about the broader market environment. The tariffs, Lee says, are feeding into this sense of uncertainty, pushing Bitcoin toward a potential correction that could take it all the way down to the $75,000 support level.
Lee predicts that Bitcoin may see a short-term dip to around $76,000 to $78,000, inching closer to that crucial $75,000 level. If Bitcoin can’t hold on here, things could get worse. Historical patterns suggest that the $75K support is a key threshold for traders, and if it breaks, the price might slide even further.
The $70,000 Question: Will Bitcoin Drop That Low?
As Bitcoin hovers around the $78,000 mark, some analysts are worrying about a deeper correction. Could Bitcoin fall as low as $70,000? It’s not out of the question, but it might take something significant to push it there. Bitcoin’s correlation with the global liquidity index shows that the crypto could sink below $70,000 if market conditions worsen—especially after peaking at nearly $110,000 in January.
Raoul Pal, founder of Global Macro Investor, was one of the first to signal the possibility of this downturn. Back in November, he posted on social media, predicting that Bitcoin would hit a “local top” above $110,000 in January before entering the current phase of price correction.
Can Bitcoin Hold $75,000? Here’s What Analysts Think
So, will Bitcoin hold $75,000, or are we headed for a more dramatic plunge? Analysts like Lee believe that while Bitcoin’s short-term outlook is shaky, a drop to $70,000 seems less likely right away. He pointed out that large institutional players—like Michael Saylor’s Bitcoin-focused strategy—continue to buy up Bitcoin, which helps prop up the price.
That being said, Lee acknowledged that a dip below $75,000 could trigger more volatility. In fact, if Bitcoin drops below that level, it could set off nearly $900 million in leveraged long liquidations across all exchanges, according to data from CoinGlass.
Still, Lee remains cautiously optimistic, suggesting that while a plunge to $70,000 isn’t out of the question, it’s “less probable” unless a major negative shock hits the market. The $75,000 level, he noted, is aligned with both technical support and stablecoin buffers—meaning it might have enough momentum to prevent a massive downturn, at least in the short term.
The Long-Term Outlook: Bitcoin’s Correction May Not Be Over
Bitcoin’s current correction could continue for another couple of weeks. According to crypto analyst Rekt Capital, this isn’t unusual—Bitcoin has gone through similar price discovery corrections before, and historically, these phases have lasted anywhere from 10 to 12 weeks. While this particular correction is relatively mild by historical standards, it’s still enough to cause some concern.
Rekt Capital pointed out that the current -25% dip is actually shallower compared to some previous corrections, but the duration of this pullback seems more in line with Bitcoin’s historical patterns—particularly the correction period back in 2013. So, while Bitcoin’s future may look uncertain in the short term, the longer-term picture still seems to be on track with past cycles.
In Conclusion: A Wait-and-See Moment for Bitcoin
Bitcoin’s price is at a crossroads. The $75,000 support level is key—if it holds, Bitcoin could stabilize and continue its upward trajectory once the macroeconomic headwinds die down. But if it breaks, the cryptocurrency could see further declines, possibly testing the $70,000 mark. For now, investors will be watching closely, hoping that institutional support and positive market momentum can steer Bitcoin away from deeper corrections.
