Bitcoin price today crashes to 5-week low: Why is BTC USD near $77,000 amid crypto exchange Binance hack reports

Bitcoin price today: Bitcoin fell to a five week low on Friday as heavy selling wiped out $1.49 billion in leveraged crypto positions over 24 hours. Traders betting on rising prices suffered most of the losses, with long-position liquidations reaching $1.29 billion.

The cryptocurrency dropped to $76,301 before recovering above the $77,000 level. But the rebound came on lighter trading volume, raising questions about whether buyers were returning to the market.

Bitcoin Price (BTC USD) Drops as Liquidations Mount

Bitcoin closed at $77,839 on October 29, its lowest daily close since September 17. The price fell further the following day, touching $76,301 during the sell-off.


CoinGlass data showed that exchanges liquidated $1.49 billion in leveraged positions over 24 hours. Long positions accounted for 86.8% of the total while Bitcoin positions made up approximately $475 million.

Liquidations happen when exchanges forcibly close leveraged trades after losses erode collateral backing it. So when prices fall, these forced sales can lead to further liquidations and add to downward pressure.

Bitcoin Faces Pressure Below Key Price Levels

Bitcoin was trading below its 20 day moving average of $81,618 and its 50 day average of $81,887. It remained above its 200 day moving average of $73,107.

The $76,600 level is now an important threshold for the cryptocurrency. A daily close above $79,107 would strengthen the case for a recovery, while a close below $76,600 could open the way toward $73,107, according to 24/7 Wall St's technical analysis.

Trading volume also offered little evidence of a strong rebound. Volume peaked during the decline, while the recovery took place on lighter activity.

Bitcoin ETF Inflows Offer Some Support

Despite the price drop, US spot Bitcoin exchange traded funds recorded net inflows of $17.2 million on October 29.

The iShares Bitcoin Trust led with $12.8 million in inflows, followed by Fidelity Wise Origin Bitcoin Fund with $10.5 million and Bitwise Bitcoin ETF with $8.8 million. Grayscale Bitcoin Mini Trust recorded $15.3 million in outflows.

Bitcoin has recovered from its intraday low, but it remains below its short-term moving averages. Whether the price can move higher depends on buyers stepping in to support the rebound and BTC holding above $76,600.

Binance Security Breach Coincides With Crypto Sell-Off

The decline coincided with reports of a security breach at Binance. The exchange estimated that around $6.3 billion in crypto assets had been affected and said it would cover customer losses. Withdrawals were suspended during the investigation.

Ethereum briefly fell below $2,200, while XRP, Solana and other major cryptocurrencies also recorded losses.