Market watchers report Bitcoin sliding to $78,000 as the rally fueled by trading strategies runs out of steam.

Bitcoin Drops Below $80,000 as Profit-Taking and Weak Demand Weigh

Bitcoin fell sharply on Saturday, dipping as much as 10% to $75,709.88—its lowest level since April 2025—as early holders cashed in profits and new capital failed to enter the market. The decline has erased over 30% of Bitcoin’s peak value, while Ether and Solana also fell roughly 17%, signaling broad weakness across major cryptocurrencies.

The selloff removed about $111 billion from total crypto market capitalization within 24 hours, and $1.6 billion in leveraged positions were liquidated, primarily in Bitcoin and Ether, according to Coinglass. Analysts point to thinning liquidity and muted buying interest as key drivers of the drop.

Ki Young Ju, CEO of on-chain analytics firm CryptoQuant, said Bitcoin’s realized capitalization has largely flatlined, indicating that fresh inflows have stalled. “When market cap falls without realized cap growing, that’s not a bull market,” he noted on X.

Early holders, boosted last year by spot Bitcoin ETFs and Michael Saylor’s Strategy (MSTR), have been taking profits steadily. While Strategy’s holdings are slightly underwater, the firm is not under immediate financial stress. Despite macro tailwinds such as a weaker U.S. dollar and gold hitting record highs, Bitcoin failed to rally. Ju expects the downturn to play out through sideways trading rather than a sharp rebound, leaving the market without a near-term bottom.