Bitget App
Trade smarter
Buy cryptoMarketsTradeFuturesEarnSquareMore
Another 2022-like bloodbath is coming to the Bitcoin market?

Another 2022-like bloodbath is coming to the Bitcoin market?

KriptoworldKriptoworld2025/05/06 20:55
By:By kriptoworld

I’ve seen a lot of crazy things in my day, but what’s happening with Bitcoin right now? It’s like déjà vu with a side of heartburn.

You remember 2022? That year was a meat grinder for anyone holding Bitcoin short-term.

And guess what? The experts say the stage is set for another round if things go south from here.

Past mistakes

Bitcoin’s short-term holder, or STH cost basis, the average price paid by recent buyers, sits at a sky-high $93,460.

Unfortunately, that number isn’t just some fancy stat, it’s the line in the sand. If Bitcoin drops below it, you can bet your last cannoli the panic will be contagious.

Back in 2022, every time Bitcoin slipped under that STH cost basis, it was like someone yelled fire in a crowded theater.

May, June, September, each dip triggered a stampede for the exits, prices tanked, and weak hands got wiped out faster than you can say margin call.

Source: Glassnode

Cracks

Now, don’t get me wrong, Bitcoin’s got a reputation for making fools outta anyone who bets against it.

But Open Interest in the futures market is through the roof, $38.6 billion and climbing. That means there’s a lot of leverage, a lot of bets, and a whole lotta people who think they’re smarter than the market.

Source: Coinglass

And usually they aren’t. Problem is, when prices start to fall, all those positions can turn into a liquidation avalanche.

It’s like stacking dominoes and then sneezing, everything comes crashing down, fast.

And let’s not forget, the market’s already showing cracks. Short-term holders are sitting on losses, and some are starting to bail out to cut their pain short.

Selling pressure is building, even if it hasn’t hit the panic levels of past bear markets yet.

But with the Fear and Greed Index stuck in fear, and resistance levels getting rejected left and right, the mood’s about as cheerful as a rainy funeral.

Key level

Right now, analysts and experts say if Bitcoin drops below that $93k level, brace yourself.

We could see a replay of 2022’s chaos, sharp sell-offs, mass liquidations, and a feedback loop of fear that turns a bad day into a full-blown disaster.

Maybe you’re thinking, nah, Bitcoin always bounces back. Sure, maybe. But this market?

It doesn’t care about your feelings. It chews up the careless and spits out the rest.


Disclosure:This article does not contain investment advice or recommendations. Every investment and trading move involves risk, and readers should conduct their own research when making a decision.

Kriptoworld.com accepts no liability for any errors in the articles or for any financial loss resulting from incorrect information.

0

Disclaimer: The content of this article solely reflects the author's opinion and does not represent the platform in any capacity. This article is not intended to serve as a reference for making investment decisions.

PoolX: Earn new token airdrops
Lock your assets and earn 10%+ APR
Lock now!

You may also like

The Importance of Industrial Properties in Markets Ready for Immediate Development

- Public infrastructure grants like FAST NY are transforming industrial hubs by upgrading shovel-ready brownfields, exemplified by Webster , NY's $9.8M Xerox site redevelopment. - Corporate divestitures align with public investments, as seen in Xerox's campus sale enabling a $650M dairy facility that leverages upgraded infrastructure for 250 jobs. - Public-private partnerships reduce development risks through pre-remediated sites and multimodal connectivity, attracting high-capital industries like clean te

Bitget-RWA2025/11/29 11:32
The Importance of Industrial Properties in Markets Ready for Immediate Development

Bitcoin News Today: Defying Intuition: Crypto Traders Adopt Buy-When-Fearful, Sell-When-Greedy Approach

- Binance's CZ advocates contrarian Bitcoin strategy: sell during greed, buy during fear, challenging emotional trading instincts. - Market data shows Bitcoin hovering near $90,644 amid extreme Fear and Greed Index swings (current 20), reflecting prolonged investor anxiety. - Historical patterns indicate extended fear phases often precede market bottoms, as seen in March 2025's $76,000 Bitcoin low. - Strategy emphasizes discipline in volatile crypto markets, where leverage amplifies sentiment-driven swings

Bitget-RWA2025/11/29 11:32
Bitcoin News Today: Defying Intuition: Crypto Traders Adopt Buy-When-Fearful, Sell-When-Greedy Approach

Bitcoin Updates: PENGU Holds at $0.03—Liquidity Struggles to Prevent a Downturn

- Pudgy Penguins' PENGU token tests $0.03 support amid 46.83% monthly price drop, risking cascading liquidations. - 78.8B open interest highlights liquidity risks as 70.72% circulating supply faces whale influence and reserve dilution threats. - Institutional Cboe ETF proposal temporarily stabilizes PENGU, but Bitcoin's 29% post-peak decline and Solana's rally expose its speculative fragility. - Growing DeFi integration contrasts with PENGU's lack of fundamental utility, making it vulnerable to crypto wint

Bitget-RWA2025/11/29 11:32
Bitcoin Updates: PENGU Holds at $0.03—Liquidity Struggles to Prevent a Downturn

Stablecoins Recognized by Regulators and Institutions as the Core Link in Crypto

- Stablecoins are increasingly serving as a secure bridge between traditional finance and decentralized systems, supported by institutional adoption and regulatory frameworks like the EU’s MiCA. - Binance’s record $51.1 billion stablecoin reserves highlight their role as a liquidity hub amid market corrections, with traders prioritizing safety over speculation. - Deutsche Börse integrates euro-pegged stablecoins (e.g., EURAU) to expand digital asset offerings, aligning with MiCA’s goals for cross-border ef

Bitget-RWA2025/11/29 11:15
Stablecoins Recognized by Regulators and Institutions as the Core Link in Crypto