Bitcoin fell below $84,000 on September 24, extending a sharp reversal after this week's eight-month high as traders locked in profits and a jump in U.S. Treasury yields pressured risk assets. The cryptocurrency traded around $83,900 during Asian hours, down more than 2% over 24 hours, after reaching nearly $87,300 earlier in the week.
The pullback followed an unusually rapid recovery. Bitcoin climbed from below $78,000 last week to an eight-month high of about $87,381, gaining more than $10,000 in four days and rising over 13%. The rally was initially supported by heavy demand for U.S. spot Bitcoin ETFs, which attracted approximately $999 million on September 21 and another $714.7 million on September 22, alongside a major short squeeze.
Profit-taking became increasingly attractive after the strong short-term advance. More than $545 million of leveraged crypto positions were liquidated over 24 hours, including roughly $447 million in long positions, according to CoinGlass data. Liquidation cascades accelerated as Bitcoin briefly touched $83,500 and Ether fell as low as $2,635. In total, about 126,630 traders were liquidated, with longs accounting for around 82% of the total. Approximately $237 million of leveraged longs were liquidated within a single hour as Bitcoin broke below $84,000.
Macro conditions amplified the selling pressure. The 10-year U.S. Treasury yield climbed to 5.11% on Wednesday, rising roughly 15 basis points in one session and reaching its highest level since 2007. Higher government-bond yields increase the relative attractiveness of risk-free assets and tighten financial conditions for risk assets such as cryptocurrencies. The move followed stronger-than-expected U.S. economic data, with September composite and services purchasing managers' indexes reaching 58.4 and 58.7, respectively, reinforcing expectations that interest rates may remain elevated or rise further.
Glassnode data highlighted the importance of the $84,000–$85,000 region as a significant long-term-holder supply zone. Falling back below $84,000 therefore represents a retest of an area Bitcoin had only recently converted from resistance into support. The weakness spread across major altcoins: Dogecoin fell roughly 7%–8%, while Zcash, XRP and Hyperliquid dropped between 5% and 6%. Ether, Solana and BNB were down approximately 2%–3%.
LD Capital founder Jack Yi also pointed to the $86,000 area as strong resistance. He stated that if Bitcoin reaches that level, it might be appropriate to close long positions and realize profits. Yi noted he made a similar assessment about 20 days ago and his view remains unchanged. Despite the possibility of a short-term correction, he maintains a bull market expectation for Bitcoin and said he is not considering opening a short position under current conditions. He emphasized that bull market price movements are not linear, periodic pullbacks can create new buying opportunities, and appropriate stop-loss levels and risk management are crucial.
