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Bitcoin Steadies Near $77,000 After Weekend Flash Sell-Off

A low-liquidity weekend turned leveraged unwinds into a cascade.

Overview

  • Bitcoin briefly dropped to roughly $74,500–$75,000, its weakest level since April 2025, before recovering into the $76,000–$78,000 range as global markets reopened.
  • Cascading forced liquidations in thin weekend trading erased over $2 billion across crypto, with trackers also showing about $510 million wiped in a 12‑hour window on Monday.
  • Traders pointed to President Donald Trump's nomination of Kevin Warsh as Federal Reserve chair as a hawkish signal that pushed investors toward risk reduction and a firmer dollar.
  • Flows deteriorated, with U.S. spot bitcoin ETFs recording multi‑billion dollar net outflows in late January and CoinShares citing $1.7 billion withdrawn from digital asset funds last week.
  • MicroStrategy’s average bitcoin cost basis of $76,052 was briefly breached as its shares fell, and Binance said it purchased 1,315 BTC to convert part of its SAFU reserve.