Bitcoin Crashes Under $90,000 as Death Cross Sparks Extreme Fear
Bitcoin fell below $90,000 on Coinbase, reaching $89,420—the lowest level since February—thereby erasing its gains for 2025. This sharp decline follows Bitcoin's peak at a record $126,250 about six weeks earlier, marking a significant reversal.
The drop accelerated after Bitcoin failed to reclaim $93,700 and broke below the 200-day moving average. This triggered a death cross between the 50-day and 200-day moving averages, intensifying market concerns.
ETF inflows have stalled amid inflation concerns and policy outlook uncertainty. Earlier in the year, U.S. spot ETFs absorbed more than $25 billion, but inflows have been flat for nearly two weeks. Retail investor stress is evident as the Crypto Fear & Greed Index dropped to 11, its lowest since the 2022 bear market, while Bitcoin's social dominance surged.
Analysts warn that if Bitcoin fails to regain $93,000, it may open a liquidity path toward $86,000–$88,000. However, some expect short-term relief if ETF outflows stabilize and macroeconomic data improve.
Meanwhile, buying pressure may be shifting to stablecoins and tokenized real-world assets. Investor Dan Tapiero noted that long-term prospects remain supported by fundamentals and growing institutional interest. Corporate balance-sheet buyers have paused purchases after aggressive accumulation in the first half of 2025.
