Why Bitcoin Price Crashed Under $75,000 Today? 

Summary

The fall of Bitcoin's price below $75,000 has surprised the majority of investors and plunged the crypto market into a state of panic. However, this collapse was not the result of one single factor — it's the accumulation of numerous different factors.

One of the biggest reasons would be the sudden selling by whale investors — the big players with huge amounts of Bitcoin. When they sell in bulk, the market takes notice straight away, and small investors start selling in fear as well. It creates a domino effect.

Another reason is that the Bitcoin ETF mania is fading. When the Bitcoin ETFs were initially launched, people believed that it would open a flood of new money from institutional titans. Prices stayed high for a while, but now people realize that it is not possible to maintain a high price level. That discontent is causing people to exit the marketplace.

On the other hand, the US government has increased interest rates, and this makes safer alternatives like bonds more desirable. As a result, investors are moving money from riskier investments like Bitcoin to most other assets. Also, fears that the government would increase controls or close down crypto are scaring people.

Introduction

The world's most popular cryptocurrency, Bitcoin, has always been linked to its ups and downs. But something unusual has happened today – the price of Bitcoin fell below $75,000, and this has created a wave of shock and confusion among investors. Crypto market observers are all wondering the same thing: "Why did the Bitcoin price decline so sharply today?"

Bitcoin reached a new high last week, and all thought the price was going to continue to go up. There were investors' expectations, everybody was discussing it on social media, and money analysts were discussing new price levels. But nothing is forever in cryptocurrency. Prices can reverse within minutes because of the volatility of the market. Even a tiny news or some celebrity's tweet can push the price down or up in an instant.

So, why was this fall happening? There can be a variety of reasons. Sometimes global events or new rules from the government on cryptocurrency happen to affect prices. Suppose if a country in the world simply bans trading in crypto or increases taxation on it to a significant amount, then investors panic and start selling off their Bitcoin. This creates a squeeze on the market, and prices fall. This fall, which happened today, could have happened because of something like that.

Another reason could be profit booking. When the price rises too high, wise investors start selling to book profits. If everyone sells at once, the price falls. Also, the big Bitcoin holders, or "whales," have the power to change the market by selling a piece of their holdings. If some whales sold Bitcoin today, it could lead to a price crash.

Table of Contents: 

• Did Whale Investors Just Trigger a Massive Sell-Off?

• Was There a Government Crackdown on Crypto?

• Is the Bitcoin ETF Hype Fading Away?

• Are Rising US Interest Rates Spooking Investors?

• Did a Major Crypto Exchange Face Technical or Security Issues?

• Is the Overall Crypto Market in a Correction Phase?

• Did Negative News from Institutional Investors Affect the Price?

• Are Mining Costs and Selling Pressure Driving the Price Down?

• Conclusion

• Frequently Asked Questions (FAQ's)

Did Whale Investors Just Trigger a Massive Sell-Off?

Whale investors are persons or institutions who own a great deal of Bitcoin. Because they have so much, their action can impact the market considerably. During the current era, the majority of analysts believe that these whales may be behind the current dip in the price of Bitcoin. When whales dispose of even a small amount of what they own, the market is left with a massive supply. This makes the minor investors nervous and causes them to panic, and they start selling as well out of fear. This is a cascade effect and is called a sell-off, which pushes the prices down quickly.

Some reports say that a handful of major wallets moved major amounts of Bitcoin into the exchanges today. That generally means they are preparing to sell. When people saw that, they freaked and got in on it, causing an unprecedented price drop. So, yes, it is very possible that whale investors started today's sell-off.

Was There a Government Crackdown on Crypto?

One of the reasons why the price of Bitcoin crashed so rapidly today is that governments might crack down on cryptocurrency. Governments all around the globe are still not quite sure what to do about cryptocurrencies. Some are positive, while others consider it risky or damaging. If a major country makes a declaration about new regulations that make it harder to buy and sell, use, or mine Bitcoin, it scares investors.

There are whispers today that a major country has passed tough new laws or banned some crypto activities. This type of news travels quickly and induces fear in the market. Investors will quickly sell when they get the feeling that crypto can be made illegal or heavily taxed. Panic selling does this and leads to price crashes.

So yes, if yesterday a government declared or even hinted at cracking down on crypto, then it could be one of the primary causes of the price decline in Bitcoin.

Is the Bitcoin ETF Hype Fading Away?

Earlier in the year, the launch of Bitcoin ETFs (exchange-traded funds) created tremendous hype in the crypto space. Everyone thought that Bitcoin ETFs would bring the big money of institutional investors into the market and pump prices up. For a short while, that is exactly what occurred — Bitcoin's price rose very fast, with hopes on the horizon.

But now, though, the mania over Bitcoin ETFs seems to be fading. The market had expected a bigger impact, but the flow of new money is not as strong as had been hoped. Some traders are realizing that ETFs will not support the price rise forever. When this mania subsides, people start selling, especially if they don't see immediate gains.

So sure enough, if fewer individuals are investing in Bitcoin ETFs today, then it could be a sign that the hype has worn off. And that suppression of interest could be a second reason why Bitcoin's price is falling today.

Are Rising US Interest Rates Spooking Investors?

Yes, rising US interest rates could be one of the factors contributing to the drop in Bitcoin's price. When interest rates go up, borrowing money will become more expensive. This usually makes people more careful about spending and investing. They thus start shifting their money into safer assets like bank deposits or government bonds that yield higher returns when interest is high.

For riskier assets such as Bitcoin, this is not good news. Investors will withdraw their money from crypto and invest it in safer assets. This selling pressure causes the price of Bitcoin to fall. Therefore, if the US Federal Reserve has indicated or set higher interest rates recently, it might have frightened investors and compelled them to sell their Bitcoin.

Did a Major Crypto Exchange Face Technical or Security Issues?

Yes, there have been serious security breaches on top cryptocurrency exchanges in recent times. A serious security breach at a top crypto exchange Bybit in February 2025 had the hacker steal approximately $1.5 billion worth of Ethereum from their cold wallets.

This is among the largest crypto exchange hacks in history. Also, in January 2025, the other large crypto exchange, Phemex, experienced a security breach where over $85 million of cryptocurrency was stolen. These large breaches have spurred heightened volatility and pushed cryptocurrency prices lower.

Is the Overall Crypto Market in a Correction Phase?

Yes, the crypto market is in the process of correction. As of April 9, 2025, the major cryptocurrencies have experienced sharp drops:

• Bitcoin (BTC): At around $76,392, 3.56% down from the last close.

• Ethereum (ETH): At around $1,458.96, having dropped by 7.15%.

• XRP: Approximately $1.80, down by 5.26%

It's declining for every reason:

• Global Trade Tensions: Recent comments on US tariffs and retaliations by nations such as China increased economic uncertainties that are affecting the traditional as well as crypto markets

• Regulatory Concerns: The European Securities and Markets Authority (ESMA) released a warning of the potential financial stability risks posed by the new cryptocurrency landscape, and this has injected investor caution

• Market Dynamics: Experts opine that the correction at this time could be mid-cycle, and the market can quite well expand in the latter half of the year.

Did Negative News from Institutional Investors Affect the Price?

Yes, the recent institutional investor push has imposed a significant strain on the price of Bitcoin.

Among them is Strategy (formerly MicroStrategy), which holds a massive portfolio of Bitcoins. The company posted an unrealized loss of about $5.91 billion on its holdings of bitcoin.This has created fear that it will sell its Bitcoin holdings to meet financial obligations, scaring the market and leading to a drop in the price of Bitcoin under bearish pressure.

Broader economic considerations, including increasing trade tensions and fresh U.S. government tariffs, also contributed to market instability. These occurrences have propelled weaker investor sentiment, which prompted institutional investors to revalue their stakes in riskier assets like cryptocurrencies.

Are Mining Costs and Selling Pressure Driving the Price Down?

Indeed, part of the causes behind the recent drop in Bitcoin's price has been mining pressure and expenses.

Following fewer effective miners leaving the market, it projected in May 2024 that the mining cost of a Bitcoin was at about $45,000. While this has lowered the cost of mining, miners have grappled with financial woes due to declining transaction fees and a decline in hashprice—the revenue per unit of computing capacity.

To cover the cost of operations, miners have increased the sale of Bitcoins, thereby exerting more selling pressure on the market. For instance, on June 10, 2024, data indicated that miners sold 1,200 Bitcoins in over-the-counter transactions, the highest single-day trading volume in two months. Such increased selling can spread and make the market more volatile, pushing prices down.

While miner sell-offs are not the sole motivator behind Bitcoin's price, their selling, when combined with other market factors, is extremely effective at dictating price trends.

Conclusion

In simple terms, the recent fall in the price of Bitcoin is not due to a single reason — it is the result of many different things happening at the same time.

To begin with, whales, or big investors as they are generally known, can have sold massive amounts of Bitcoin, thereby inducing fear and making others sell too. This kind of wave of selling exposes the market to a lot of pressure. Then, apart from that, if there were any hacking attacks or technical issues at big crypto exchanges, that would again take away people's confidence, and they would be quick to leave as soon as possible.

Second, many people had high hopes from Bitcoin ETFs this year. They believed these new investment vehicles would pump a lot of money from big financial institutions. And yes, initially, that did happen — Bitcoin's price climbed steeply. But slowly, as people realized ETFs would not pump the price endlessly, the hype faded. For when hope turns to skepticism, people start withdrawing money.

And then, of course, there's the global economy to worry about. Rising interest rates in the United States are making safe haven investments such as bonds appealing. So investor money is being pulled out of risky investments such as Bitcoin. And meanwhile, tensions between countries and recession worries are causing investors to be even more wary.

Frequently Asked Questions (FAQ's)

Que: Why did the price of Bitcoin fall to less than $75,000 today?

Ans: The price went down owing to various reasons, including big investors selling, reduced demand for purchasing Bitcoin ETFs, US interest rates going up, and overall market fear. All these combined led to an abrupt price fall.

Que: Did whale investors spearhead the price crash?

Ans: Perhaps, yes. Whales (investors who hold a lot of Bitcoin) may have sold a lot of it. That scares smaller investors, who also start selling — and that causes a price meltdown.

Que: Is the mania over Bitcoin ETFs?

Ans: The mania is dying down. Everyone thought ETFs were going to earn a lot of money, and now the inflow of new money has been reduced. When the hype is over, some people get bored and start selling.

Que: Is the US government or any other country cracking down on crypto?

Ans: Governments are increasing regulations, and there are rumors or belief of even stricter regulations. This alarms investors, which affects prices negatively.

Que: Are US interest rate hikes affecting Bitcoin?

Ans: Yes. As interest rates increase, people prefer safe investments like bank deposits or bonds. Thus, they take money out of risky investments like Bitcoin.