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

Solana News Today: Avail's Nexus Mainnet: A Borderless Blockchain Ecosystem

- Avail launches Nexus Mainnet, a cross-chain infrastructure unifying liquidity across Ethereum , Solana , and EVM-compatible chains. - The platform uses intent-solver architecture and Avail DA verification to replace bridges, enabling seamless asset movement and shared liquidity. - Integrations with major chains and partners like Lens Protocol aim to streamline DeFi and trading, while $AVAIL token coordinates cross-chain transactions. - With Infinity Blocks targeting 10 GB blocks, Nexus addresses liquidit

Bitget-RWA2025/11/28 18:28
Solana News Today: Avail's Nexus Mainnet: A Borderless Blockchain Ecosystem

Cardano News Today: ETFs Turn to Alternative Coins While ADA Stumbles and XLM Gains Momentum with ISO Compliance

- Franklin ETF expands holdings to include ADA , XLM, XRP , and others, reflecting institutional altcoin diversification driven by ISO 20022 compliance and SEC-approved rules. - Cardano faces short-term bearish pressure with 31% monthly decline, contrasting Stellar's bullish 2025/2030 price projections ($1.29–$6.19) fueled by RWA and cross-border payment demand. - ISO 20022 adoption (97% payment instructions) positions ADA/XLM as bridges between DeFi and traditional finance, with Ripple's ILP enhancing XLM

Bitget-RWA2025/11/28 18:28

The Influence of Targeted Infrastructure Funding on Property and Industrial Growth

- New York's FAST NY program allocates $9.8M to Webster for infrastructure upgrades, targeting industrial and real estate growth. - The grant funds road realignment, sewer upgrades, and electrical planning to attract $650M private investments like fairlife® dairy facility. - Webster's 10.1% residential property value surge and 300+ acres of revitalized land highlight infrastructure-driven economic multipliers. - Statewide, FAST NY has allocated $283M across 37 projects, transforming coal plants and brownfi

Bitget-RWA2025/11/28 18:28
The Influence of Targeted Infrastructure Funding on Property and Industrial Growth

Bitcoin News Update: S&P Rating Drop Highlights Tether’s Risky Asset Holdings and Lack of Transparency

- S&P downgrades Tether's USDT to "5 (weak)" due to high-risk reserves and transparency gaps. - Tether's 5.6% BTC exposure exceeds overcollateralization margins, risking undercollateralization if prices drop. - CEO dismisses critique as traditional finance bias, claiming no "toxic" assets in reserves. - Regulators intensify scrutiny as stablecoin centralization risks emerge amid $184B USDT circulation. - S&P urges Tether to reduce risky assets and enhance reserve disclosure to rebuild trust.

Bitget-RWA2025/11/28 18:10
Bitcoin News Update: S&P Rating Drop Highlights Tether’s Risky Asset Holdings and Lack of Transparency