Bitcoin Slips to $60k September 2024 Lows as Leverage Unwinds Shake the Market

Bitcoin plunged to its lowest level since September 2024 late Thursday, as repeated failures to defend key support zones rattled market confidence and triggered a cascade of forced selling.

The largest cryptocurrency briefly slid to $60,000, capping a sharp 17% drop within 24 hours, before rebounding to around $64,100 amid intense volatility. Ethereum mirrored the weakness, dipping as low as $1,750 before recovering to roughly $1,899 at the time of writing.

The selloff sparked massive liquidations across the crypto derivatives market. In just four hours, $817 million in positions—both long and short—were wiped out. Over the full 24-hour period, total liquidations climbed to $2.67 billion, with long positions accounting for $2.31 billion, according to Coinglass data.

Market sentiment has deteriorated rapidly. CoinMarketCap’s Crypto Fear and Greed Index has fallen to a reading of 5, firmly in “extreme fear” territory and marking its lowest level since the index was introduced in June 2023.

The downturn appears driven by a combination of over-leveraged positions being flushed out, sustained outflows from spot Bitcoin exchange-traded funds, and a broader risk-off macro environment. Indicators tracking capitulation show one of the largest spikes in forced selling seen in the past two years, highlighting the intensity of the move.

Trading behavior has also shifted. Instead of aggressively buying dips, participants are increasingly waiting for confirmation, selling into short-lived rallies and prioritizing capital preservation. This change in mindset has reinforced downside momentum as volume fades once liquidation pressure eases.

Institutional flows have added to the pressure. Spot Bitcoin ETFs recorded more than $800 million in net outflows across two consecutive days, signaling a short-term reset in positioning even as longer-term interest appears more resilient.

For now, attention is centered on the $58,000–$60,000 range, widely viewed as a critical support zone. A sustained hold above this area could lay the groundwork for stabilization, but any meaningful recovery is likely to depend on calmer price action and fresh positive catalysts emerging after the market digests the recent shock.