Sudden Drop Sends Bitcoin Below $87K

Bitcoin suddenly dropped to 86,700 dollars on Monday, December 15, triggering more than 210 million dollars in liquidations in one hour. This rapid and unexpected move surprised the market, recalling the strong vulnerability of cryptos to volatility and economic tensions.

A brutal and sudden bitcoin collapse

While bitcoin was quietly trading around $90,000 during the early hours of this Monday, the market abruptly dropped, pushing the asset’s price to $86,700, its lowest in two weeks.

This quick drop was followed by a wave of massive liquidations, totaling $210 million in just one hour. In the previous 24 hours, the total amount liquidated reached $450 million, mainly on long positions.

Bitcoin alone accounts for $66 million of liquidated positions in one hour, closely followed by Ethereum at $65 million. Nearly 145,000 positions were liquidated over the day.

This sudden correction triggered a chain reaction across the crypto market, with marked losses on several major assets. The largest altcoins also suffered heavily from this plunge. Here are the key figures to note :

• Ethereum (ETH) : down 4.4 % in one hour, close to breaking the $3,000 threshold ;
• XRP : a 3 % drop, losing key support at $2 ;
• BNB : a 4 % decline in the same hourly window ;
• Solana (SOL) : also down 4 %, following the general market trend.

This sequence demonstrates the persistent vulnerability of the crypto market, always exposed to phases of excessive leverage and violent technical moves. The cascade of liquidations, fueled by a snowball effect, reminds us how volatility remains a structural factor of this market, even when prices appear stable.

A market under tension : leverage, psychology, and latent uncertainties

Although no major technical event has been identified as an immediate trigger, some analysts point to political and economic factors as possible catalysts for this drop.

One factor influencing the markets might be the unexpected reshuffling of the race for the presidency of the U.S. Federal Reserve. “Kevin Warsh takes the lead with 49 % of intentions, slightly ahead of Kevin Hassett, credited with 48 %, while Christopher Waller remains far behind with 4 %”, reports Walter Bloomberg via X (formerly Twitter).

Kevin Hassett’s candidacy faced criticism due to his past ties with the Trump administration, raising concerns about the Fed’s independence. This uncertainty has apparently contributed to renewed tension in financial markets, with a domino effect on crypto assets.

Beyond this news, the week promises to be decisive from a macroeconomic standpoint, with the awaited release of several major economic indicators in the United States. Markets anticipate increased volatility, which could explain the observed restlessness. In a climate where monetary policy expectations strongly influence investment flows, crypto, as a risk asset, remains particularly vulnerable to perception adjustments related to interest rates or the Fed’s policy.

The severity of the pullback reminds us that the bullish trend remains vulnerable to leverage excesses and technical moves. If pressure intensifies, bitcoin could plunge to $50,000, a key level observed by many analysts. The market remains suspended to macroeconomic signals and investor reactions to this new shock.