December 12, 2025 – In a dramatic reversal of last week’s gains, Bitcoin (BTC) experienced a rapid sell-off on Friday, tumbling more than USD 3,000 in under ten minutes to breach the USD 90,000 support level. The abrupt decline followed a period of consolidation around USD 92,300, where the asset had rebounded from sub-USD 89,500 lows earlier in the week after the U.S. Federal Reserve’s rate cut.
Data from TradingView showed BTC dropping to an intraday low of USD 89,600 at 21:00 UTC, representing a decline of over 3.3% within the hour. The sudden downturn wiped out bullish momentum built after the Fed announcement, sending shockwaves through derivative markets and prompting liquidations of leveraged positions on major exchanges.
CoinGlass analytics reported more than USD 415 million in total liquidations over the 24-hour period, with USD 163 million occurring during the flash crash. Ethereum (ETH) was among the hardest hit, shedding 4.5% and trading just above USD 3,000 at the lows. Altcoins such as ARB, UNI, ENA and AAVE each fell up to 5.5%, exacerbating the sell-off’s breadth across the market.
More than 120,000 leveraged traders were liquidated, according to exchange reports, with the single largest position—worth approximately USD 5.7 million—closed out on Hyperliquid. Market participants cited thin order books and thin liquidity at key levels as factors that magnified price swings, while macroeconomic uncertainty ahead of year-end accounting contributed to risk-off sentiment.
Analysts noted that BTC’s break below USD 90,000 could prompt a retest of earlier support around USD 88,000. On-chain data indicated a rise in net outflows from centralized exchanges, suggesting that supply may tighten even as price action weakens. Traders are now monitoring open interest and funding rates for signs of capitulation or a potential relief rally.
Looking ahead, attention turns to U.S. CPI data due next week, along with possible legislative developments in Washington impacting the crypto sector. Until clearer catalysts emerge, volatility is expected to remain elevated, with BTC’s narrow range of recent months giving way to sharper intraday swings.
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