Bitcoin News Today: Bitcoin’s Death Cross and Tightening Liquidity Spark Renewed Concerns of a 2022-Style Crash

Bitcoin's value continues to struggle as a result of profit-taking, declining liquidity, and technical setbacks, with experts highlighting more profound changes within the cryptocurrency sector. The leading digital asset

, resulting in a "death cross" when its 50-day moving average slipped under the 200-day average—a bearish pattern last observed during the FTX collapse in 2022. This decline comes after , fueled by tariff shocks from the Trump era and a larger shift away from riskier investments.

The downward trend has accelerated as long-term holders rush to secure profits. Glassnode data reveals

over the past month, the highest since early 2024. At the same time, the supply of stablecoins—often seen as the backbone of crypto liquidity— , suggesting a slowdown in new capital entering the market. "The market is obviously not prepared to shift into a phase of rampant optimism," commented Alex Kuptsikevich of FxPro, .

Technical signals indicate further weakness. continues to trade below its 200-day moving average ($110,000), . The death cross, along with a breach of the 50-week simple moving average, has many traders anticipating additional losses. "This removes a significant demand area," stated Omkar Godbole of CoinDesk, . Should the $100,000 support level give way, , which correspond to important moving averages.

Market mood is reminiscent of the FTX crisis period. More than $1.1 billion in positions were liquidated within 24 hours on November 14, with $968 million coming from long trades—drawing parallels to the turmoil of 2022

. The Fear & Greed Index plunged to an extreme fear level of 10, while large holders selling and ETF outflows are adding to the downward momentum . "Sentiment hasn't been this negative since 2022," remarked analyst Negentropic .

Although past death crosses have sometimes signaled short-term bottoms, the broader economic environment in 2025 makes predictions more complex. Mario Nawfal's research

: while rebounds over 2–3 months have averaged 15–26%, the 12-month outlook remains highly unpredictable. Technical analyst Colin if the death cross leads to a capitulation phase. On the other hand, a quick recovery above $107,250 could spark renewed toward the $115,600–$118,000 range .

With liquidity becoming scarcer and institutions growing more cautious, the market is at a pivotal moment. As George Mandres from XBTO Trading put it, "It feels like a dead cat bounce," as crypto's status as a risk-on asset fades amid greater macroeconomic uncertainty

.