Bitcoin Price Crash: VanEck Analyst Explains What Triggered the Drop
Last week, Bitcoin (CRYPTO: BTC) experienced a significant drop, plummeting to a low of $60,000, marking a 19% decline. The downturn is attributed to multiple factors, including massive deleveraging and miners being forced to sell, rather than a single catastrophic event.
According to reports, futures open interest has dropped from $61 billion to $49 billion within a week, indicating a more than 20% decline in borrowed bets against Bitcoin. This drop in leverage parallels the decline in Bitcoin’s price, suggesting a simultaneous fall rather than a chaotic forced selling scenario.
What The Latest Bitcoin Drop Reveals
According to Matthew Sigel, head of digital asset research at VanEck, the selloff isn’t driven by a single trigger but by a combination of factors including collapsing leverage, AI hype unraveling, and quantum computing risks.
“The list reveals a market under siege from multiple directions,” Sigel stated in a post on X.
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