• Bitcoin's price plummeted below the $100,000 psychological level for the first time since June 2025, triggering widespread liquidations.
  • The sell-off was driven by a combination of macroeconomic pressures, institutional outflows, and weak market liquidity.
  • A partial recovery above $100,900 offered some relief, but analysts are closely watching key support levels near $95,000.

Bitcoin briefly tumbled below the critical $100,000 mark on November 4-5, 2025, rattling investor confidence and underscoring the cryptocurrency's continued vulnerability to broader financial market stresses. The world's largest digital asset hit a low near $98,000, according to data from major exchanges, before staging a partial rebound to trade above $100,900 later in the day.

The decline caps a weeks-long slide from an October peak above $126,000, representing a correction of more than 20% from recent highs. The move below the psychologically important $100,000 level triggered a cascade of leveraged position liquidations across derivatives markets, exacerbating the downward pressure. One trader at a major digital asset firm, who asked not to be named discussing internal metrics, described the liquidation events as "significant but not catastrophic," noting that market structure had largely held.

Market participants point to a confluence of factors behind the sell-off. Efforts to stabilize above key technical levels have been hampered by sustained outflows from U.S. spot Bitcoin ETFs and a general risk-off sentiment in global markets. The announcement from President Trump of potential 100% tariffs on Chinese imports last month accelerated this trend, pushing investors away from speculative assets. “The macro backdrop has turned less favorable, and crypto is feeling that pressure first,” said an analyst at a crypto-focused hedge fund. “The $100,000 break was more a symptom than the cause.”

Trading desks reported intense activity during the drop, with spot selling concentrated among larger holders. The broader crypto ecosystem felt the ripple effects, with many major altcoins falling 15-20% during the same period. Despite the sharp move, some on-chain data suggests long-term holders were largely unmoved, with the sell-off being driven more by short-term speculators and forced liquidations.

Looking ahead, the immediate focus for traders is whether Bitcoin can maintain its footing above the next major technical support level around $95,000. A breach of that level, analysts warn, could open the door for a steeper decline toward $88,000. The firm that provided the initial analysis could not be reached for further comment on the intraday recovery.

Correction: An earlier version of this article misstated the low of the trading session; it fell to approximately $98,000, not $97,500.