Crypto Turmoil Finds New Drivers as Bitcoin Struggles to Rebound

Bitcoin’s sharp slide from its October peak has become a defining moment for the crypto market, with the world’s largest token briefly dipping below $90,000 this week, a level not seen in seven months, before recovering to roughly $91,800. 

The move came just as global equities staged a relief rally, helped by stronger-than-expected Nvidia earnings that pushed major indices higher and soothed fears of an AI-driven market correction. Even Bitcoin picked up a modest 0.73% in early European trading, but the uptick barely dents what has been a punishing stretch.

The sell-off began gathering momentum on 10 October, when more than $1 trillion in value evaporated across digital assets and roughly $19 billion in leveraged positions were unwound. Market watchers widely link the rout to renewed tariff threats from Washington, which pushed investors toward safer assets while dragging crypto lower. 

What Does This Mean for Me?

Macro forces tell only half the story. Analysts point to long-term holders, the so-called OGs, offloading large Bitcoin positions over recent weeks, flooding the market with supply and intensifying selling pressure. 

At the same time, offshore trading firms have been using aggressive order-book tactics that thrive on volatility, allowing them to profit whether Bitcoin rises or falls. These whipsaw moves tend to wipe out highly leveraged retail traders first, triggering forced liquidations and reinforcing the downward spiral.

Still, many in the market argue that Bitcoin rarely stays down for long. Previous cycles show that once leverage clears and liquidity resets, crypto prices often rebound sharply.