Spike

<p><a href="https://coinpedia.org/news/why-are-bitcoin-ethereum-and-xrp-prices-falling-today/" target="_blank" rel="noreferrer noopener">The cryptocurrency market fell sharply on Monday</a>, losing around $136 billion in value in a few hours as Bitcoin dropped below a crucial price level and leveraged trades were forced to close. The total crypto market capitalization fell about 3.7% to $2.93 trillion, according to market data.</p>
<h2 class="wp-block-heading" id="h-bitcoin-leads-declines">Bitcoin Leads Declines</h2>
<p><a href="https://coinpedia.org/beginners-guide/what-is-bitcoin/" target="_blank" rel="noreferrer noopener">Bitcoin, the world’s largest cryptocurrency</a>, fell after failing to hold the $88,000 support level, sliding to around $85,000 before stabilizing. The move triggered selling across the broader market.</p>
<p><a href="https://coinpedia.org/beginners-guide/what-is-ethereum-the-comprehensive-guide/" target="_blank" rel="noreferrer noopener">Ethereum, the second-largest token</a>, dropped more sharply, falling around 6.1% to about $2,932. BNB slipped nearly 3.9% to $854, while XRP declined about 6.5% to trade near $1.86. Solana fell around 3.7% to $126, and Dogecoin lost about 5.5%, trading close to $0.13.</p>
<h3 class="wp-block-heading" id="h-leveraged-trades-worsen-sell-off">Leveraged Trades Worsen Sell-Off</h3>
<p>The sell-off was intensified by the liquidation of leveraged positions. Nearly $381 million in long positions were wiped out as prices fell, forcing automatic sales and accelerating losses.</p>
<p>Analysts said heavy use of leverage has made the crypto market more volatile than traditional financial markets. By comparison, the S&amp;P 500 was down just 0.3% during the same period.</p>
<h3 class="wp-block-heading" id="h-analysts-see-range-bound-market">Analysts See Range-Bound Market</h3>
<p>Analyst Michaël van de Poppe said the overall direction of the crypto market remains unclear despite the correction.</p>
<p>He observed similarities to previous market pullbacks, including those seen in early 2025, where prices consolidated before gradually recovering.</p>
<figure class="wp-block-embed is-type-rich is-provider-twitter wp-block-embed-twitter">
 <div class="wp-block-embed__wrapper">
  <blockquote class="twitter-tweet" data-width="550" data-dnt="true">
   <p lang="en" dir="ltr">The total market capitalization of <a href="https://twitter.com/hashtag/Crypto?src=hash&amp;ref_src=twsrc%5Etfw">#Crypto</a> is undefined in its direction.<br><br>
    Yes, there's been a firm correction, but we've seen this in February '25. <br><br>
    That's nothing special. <br><br>
    The current chart is quite similar to the chart after the COVID-19 crash. <br><br>
    Price stalled for a little… <a href="https://t.co/oEd9e0JakV">pic.twitter.com/oEd9e0JakV</a></p>— Michaël van de Poppe (@CryptoMichNL) <a href="https://twitter.com/CryptoMichNL/status/2000529268842131807?ref_src=twsrc%5Etfw">December 15, 2025</a>
  </blockquote>
 </div>
</figure>
<p>Important levels to watch include $3.2 trillion as resistance and $2.85 trillion as support for the total crypto market, he said.</p>
<h3 class="wp-block-heading" id="h-mining-sector-adds-pressure">Mining Sector Adds Pressure</h3>
<p><a href="https://coinpedia.org/crypto-live-news/bitcoin-hashrate-falls-8-amid-xinjiang-mining-shutdowns/" target="_blank" rel="noreferrer noopener">Bitcoin miners are also facing rising costs</a>, with average production expenses estimated at around $74,600 per Bitcoin, while total costs, including equipment depreciation, may reach $130,000.</p>
<p>Several mining firms have begun shifting toward AI data center hosting to offset declining profitability, adding another layer of uncertainty to the sector.</p>
<h2 class="wp-block-heading" id="h-faqs">FAQs</h2>
<div class="schema-faq wp-block-yoast-faq-block">
 <div class="schema-faq-section" id="faq-question-1765862347708">
  <strong class="schema-faq-question"><strong>Why did the crypto market crash today?</strong></strong>
  <p class="schema-faq-answer">The drop was driven by Bitcoin losing key support and mass liquidation of leveraged trades, which triggered rapid selling across major cryptocurrencies.</p>
 </div>
 <div class="schema-faq-section" id="faq-question-1765862379591">
  <strong class="schema-faq-question"><strong>Is this crypto crash a sign of a longer bear market?</strong></strong>
  <p class="schema-faq-answer">Not necessarily. Analysts see the market as range-bound, similar to past corrections that later stabilized and recovered gradually.</p>
 </div>
 <div class="schema-faq-section" id="faq-question-1765862395918">
  <strong class="schema-faq-question"><strong>What key levels should investors watch in the crypto market now?</strong></strong>
  <p class="schema-faq-answer">Analysts highlight $3.2 trillion as resistance and $2.85 trillion as support for total market value to gauge near-term direction.</p>
 </div>
</div>

Crypto Prices Drop Sharply as Leverage Liquidations Spike

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