Bitcoin Plunges Below $109K Amid Trump-Putin Meeting

The timing of Bitcoin’s sharp correction appears closely linked to geopolitical developments, with the sell-off accelerating as former US President Donald Trump met with Russian leader Vladimir Putin. This high-stakes diplomatic encounter occurred just one day before Trump was scheduled to host Ukraine’s President Volodymyr Zelenskiy at the White House, creating a perfect storm of uncertainty that rattled cryptocurrency markets. The correlation between these geopolitical events and market movements underscores crypto’s growing sensitivity to global political developments.

Bitcoin had already begun retracing from its weekly peak of $116,000, dropping to $113,000 yesterday before correcting further to $110,000 earlier today. While the $110,000 support level initially held, allowing BTC to rebound to $112,000 during the day, the recovery proved short-lived. The subsequent sell-off saw Bitcoin lose more than $3,000 in less than an hour, dipping to $108,600 on Bitstamp and marking a multi-week low for the leading cryptocurrency.

The market turmoil resulted in nearly $600 million in liquidated positions according to CoinGlass data, with approximately 200,000 traders experiencing wrecked positions on a daily scale. The single-largest liquidated position occurred on Hyperliquid and was worth almost $10 million, highlighting the severity of the market move. These liquidations created a cascading effect, amplifying the downward pressure as leveraged positions were forcibly closed across multiple exchanges.

The total value of wrecked positions continues to rise as the correction deepens, with Bitcoin’s breakdown below key support levels triggering additional stop-loss orders. The concentration of liquidations across both spot and derivatives markets indicates broad-based selling pressure rather than isolated incidents, suggesting institutional and retail traders alike were caught off guard by the rapid price decline.

While Bitcoin bore the brunt of the initial selling pressure, altcoins experienced even more severe declines. ZEC led the downward charge with a massive 11% daily decline, followed closely by ASTER, PUMP, IP, TAO, and ENA. The broader altcoin market turned decidedly red, with significant losses extending across most major cryptocurrencies as risk appetite evaporated from the digital asset space.

Ethereum dropped to $3,930, while XRP fell well below the $2.40 level. BNB stood close to $1,150 at the time of reporting, reflecting the comprehensive nature of the market correction. The underperformance of altcoins relative to Bitcoin during this downturn follows historical patterns where investors typically flee to larger, more established cryptocurrencies during periods of heightened market uncertainty and volatility.

The current correction comes after Bitcoin reached a weekly peak of $116,000, with some exchanges having already experienced significant volatility last Friday when BTC tumbled to $101,000. The BTCUSD trading pair on TradingView shows a clear breakdown of key support levels, suggesting the potential for further downside if buying pressure fails to materialize at current levels. The rapid price movement highlights the continued volatility inherent in cryptocurrency markets despite growing institutional adoption.

Market analysts are closely watching whether Bitcoin can reclaim the $110,000 level, which served as both support and resistance during recent trading sessions. The failure to hold this critical level, combined with the geopolitical catalysts and massive liquidations, creates a challenging environment for bullish momentum to reestablish itself in the near term. The broader cryptocurrency market cap continues to bleed as investors reassess risk exposure amid the uncertain political backdrop.