Bitcoin price dropped toward $75,000 on Nov. 5 as technology stocks led a broader U.S. market selloff. Investing.com recorded an intraday Bitcoin low near $75,241 and a daily close near $76,062. Spot U.S. Bitcoin exchange-traded funds (ETFs) simultaneously recorded $430.2 million in net withdrawals, according to Farside Investors.
The retreat reversed Wednesday’s advance above $80,000. The S&P 500 also erased its post-election rally, reinforcing concerns about leveraged positions and demand for risk-sensitive assets.
Neither the stock losses nor ETF withdrawals independently establishes what triggered Bitcoin’s decline. Bitcoin price faced pressure from equities and fund demand, without proven causation.
Bitcoin Price Falls as Panic Intensifies
BTC price dropped sharply as investors reacted to the performance of the stock market. The S&P 500 Index dropped by 335 points on Thursday, while the Nasdaq 100 and Dow Jones retreated by 1,421 and 1,833 points, respectively. At the same time, the VIX Index jumped by 11% to 28, its highest level in months.
Most stocks, especially those in the technology sector, continued to fall. Nvidia tumbled by nearly 10%, while Micron, SanDisk, SpaceX, and Tesla fell by double digits. In total, the stock market lost over $2 trillion during the rout. The same trend continued in Asia, where the Hang Seng, Kospi Index, and Nikkei 225 plunged by over 5%.
As a result, it is common for Bitcoin and other assets to drop whenever the stock market is in a freefall. However, a closer look shows that Bitcoin’s weakness was not as severe as what happened in the stock market.
Bitcoin’s retreat also happened as the Crypto Fear and Greed Index dropped to the fear zone of 31. It has dropped from the greed zone of 81 a few months ago. BTC price often underperforms whenever there is a sense of fear in the market.
Bitcoin ETF Outflows and Liquidations Jumped
The ongoing Bitcoin price retreat coincided with the outflows in the ETF market. Spot Bitcoin ETFs shed over $430 million on Thursday. These outflows have now jumped to over $869 million this month after losing $515 million last month.
Before that, these funds added over $2.65 billion in September after adding $3.52 billion in August and $172 million in July. In total, the funds now have a cumulative inflow of $56 billion and have over $96 billion in assets.
Meanwhile, Bitcoin liquidations jumped as the sell-off intensified. Bullish liquidations rose to over $294 million on Thursday, the highest level in over a month. BTC price often underperforms the market whenever bullish liquidations are rising.
On the positive side, Bitcoin’s retreat was smaller than other assets, including blue-chip names like Nvidia and Micron.
Robert Kiyosaki, the author of Rich Dad, Poor Dad, noted that Bitcoin will do well because of the rising US public debt. Total debt jumped to $40 trillion a few months ago and has already crossed the $40.5 trillion mark. Bitcoin is often seen as a safe haven asset because of its supply cap of 21 million coins.
Bitcoin Price Technical Analysis
The daily chart shows that BTC has been in a slow downtrend over the past few weeks. It has now slumped to $75,000 and moved below the 38.2% Fibonacci Retracement level.
The coin has remained stuck below the 50-day Exponential Moving Average (EMA) and the Supertrend indicator. Also, the Relative Strength Index (RSI) has continued to fall.
Therefore, the coin will likely continue falling, potentially to the crucial support level of $70,000. A move above the key resistance level of $77,500 could lead to further gains, potentially toward the psychological level of $80,000.
Crispus is a distinguished Financial Analyst at, bringing over 12 years of expertise in cryptocurrency markets, specializing in Bitcoin and altcoins. Renowned for his sharp insights at the nexus of market trends and breaking news, Crispus delivers actionable analysis to empower investors. His work is prominently featured across leading platforms, including BanklessTimes, CoinJournal, HypeIndex, SeekingAlpha, Forbes, InvestingCube, Investing.com, and MoneyTransfers.com, cementing his reputation as a trusted voice in the financial world.
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Disclaimer. Informational only, not financial advice. Crypto, forex and stocks are volatile, high-risk assets — always do your own research and consult a qualified adviser.
