Bitcoin's rally ended abruptly Wednesday as the price dropped below $84,000, reaching an intraday low of $83,508 after failing to breach resistance at $87,000.
The reversal came hours after bitcoin had briefly surpassed $87,000 for the second time in the week, following a gradual climb that added nearly $2,000 in under 12 hours. After finding temporary support just below $85,300, a brief recovery attempt stalled before reaching $86,000. A sharp breakdown at $86,000 then triggered heavy selling pressure, pushing bitcoin down $2,000 within 30 minutes.
The pullback left bitcoin down 2.7% over the previous 24 hours, erasing earlier morning gains. Bitcoin's market valuation fell from $1.74 trillion to under $1.7 trillion, and the overall cryptocurrency market cap dropped back below the $3 trillion threshold.
Liquidations and Market Pressure
According to Coinglass data, the sell-off triggered approximately $423 million in leveraged liquidations across the crypto market. Long liquidations accounted for the majority of activity, with $131 million in long bets wiped out in bitcoin alone over 24 hours, compared with $142 million in short liquidations across the broader market.
Technical Analysis
Crypto analyst Rekt Capital described bitcoin's price action as a textbook post-rejection retest, a pattern where prices briefly break a key resistance level before revisiting lower support zones. According to the analyst, bitcoin's stabilization above $84,000 may represent an attempt to establish a higher low, though heavy long-side liquidations suggest the market has not yet completed its recalibration.
Rekt Capital emphasized that bitcoin's inability to maintain momentum above $87,000 reinforces the region as a macro resistance zone. Until bitcoin can secure a weekly close above it, the analyst argued, price will likely continue oscillating between rally-driven advances and liquidity-driven pullbacks—a dynamic typical during transitional phases in major market cycles.
