Sudden $200 Billion Sell-Off Rocks Crypto Market; Bitcoin Slips Amid Liquidity Worries

Crypto Crash 2025: Why Is Bitcoin Dropping Below $112K? Best Cryptos to Buy Now

NEWS

Clickhubnews

9/22/20252 min read

Crypto markets are under heavy pressure today, with billions wiped from portfolios in just hours. Bitcoin (BTC) slid 2.61% to trade around $112,660, dragging the total crypto market cap down to $3.9 trillion. The sudden downturn has traders asking the big question: why is crypto crashing today?

$1.7 Billion in Liquidations Shake the Market

According to data from Coinglass, more than 402,000 traders were liquidated in the last 24 hours, wiping out $1.7 billion in positions. Long traders took the hardest hit, accounting for $1.62 billion in losses, while shorts only lost about $85.8 million.

Ethereum (ETH) fared even worse in percentage terms, tumbling 6.34% with $483 million in liquidations, while Bitcoin traders saw $276 million vanish.

Token Unlocks Add More Pressure

The selloff isn’t just about liquidations. Over the next seven days, more than $517 million worth of token unlocks are scheduled to hit the market. This flood of new supply is sparking fears of more selling pressure, as early investors and insiders may look to cash out.

ETFs Provide a Silver Lining

Despite the sea of red, there are signs of resilience. U.S. spot Bitcoin ETFs recorded $163 million in inflows, showing that institutional demand is still alive even during the selloff. This could help cushion downside pressure if it continues.

Key Levels to Watch for Bitcoin

Bitcoin is now testing a crucial support zone at $112K. If bulls fail to defend this level, BTC could slide to $108K, or even revisit the psychological $100K mark. On the upside, reclaiming $117K would open the door for a push toward $123K.

Ethereum is also in focus after its sharp drop, with traders watching whether it can stabilize above $4,000.

Is This the Final Bottom?

For short-term traders, volatility is far from over. But for long-term investors, history shows that deep pullbacks often present buying opportunities. Top assets like Bitcoin (BTC), Ethereum (ETH), and Solana (SOL) remain strong candidates for accumulation during dips.

Still, with token unlocks and macro uncertainty looming, investors should tread carefully and keep an eye on key support levels.

✨ Bottom line: The crypto crash may look alarming, but it’s part of the market cycle. Whether this is the final bottom or just another step down depends on how Bitcoin holds the $112K support — and whether ETF inflows can offset the selling pressure