Bitcoin fell to an October low of $82,734 as a resumed bond sell-off and a spike in oil prices on fresh Iran tensions pulled risk assets lower. Leveraged traders took the hit, with hundreds of millions of dollars in positions liquidated, while on-chain data show buyers still defending the $81,000-$82,000 zone.
Bitcoin (BTC) fell below $83,000 at Wednesday's Wall Street open, touching $82,734 on Bitstamp for its lowest print of the month. The slide came as Brent crude rose to $102 a barrel after an adviser to Iran's Revolutionary Guards warned of a clampdown on shipping through the Strait of Hormuz.
Bond yields hit 24-year highs
US Treasury yields reacted sharply to the oil move. The 10-year and 30-year reached 5.36% and 5.73%, both 24-year highs, as higher energy costs stoked inflation fears. Stocks followed bonds lower, with the S&P 500 down 0.6% to 7,773 points after hitting a record close the day before. Gold, a classic safe haven, slipped too — down 1.53% to $4,123.10 as the broader risk-off move swept markets.
Leveraged positions unwind
Leveraged traders took the brunt of the drop as a wave of liquidations swept the market. Roughly $969 million in crypto positions were liquidated over 24 hours, with $644.47 million of that in long positions, according to CoinGlass. Bitcoin opened the day at $85,543.66 and slid as low as $82,776.30 before paring the loss to trade near $83,178.54, down 2.76%.
Demand signals also softened. CryptoQuant reported that Bitcoin open interest has declined almost 10%, from about $28.8 billion to $26.0 billion since September 22, even as spot demand stayed subdued. The drop also invalidated support at Bitcoin's 21-day moving average near $83,850.
Buyers defend the $81,000-$82,000 band
Order-book and wallet data point to a floor forming lower down. Spot sell orders have thinned out above $83,300. Analysts at Bitfinex and Glassnode said whales have accumulated more than 14,335 BTC since October 1. Even so, a thick cluster of about 1.72 million BTC carries a cost basis between $84,000 and $86,500. That level has capped rallies since Bitcoin failed to hold above $87,000 in late September.
Sources: Cointelegraph.com News, Decrypt, Crypto Briefing
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