Bitcoin’s Sudden <$84K> Plunge: Key Reasons Behind the Latest Crypto Market Downturn

The crypto world is buzzing again with bad news. Bitcoin has taken a sharp fall, hitting the <$84K> mark on Thursday. This is the lowest price it has seen all year in 2026. Not just Bitcoin – other big coins like Ether and Dogecoin are down too, with drops of up to 6%.

Many crypto fans are asking: why is this happening now? Is it just a short dip, or the start of something bigger? In this post, we break down the main causes of the Bitcoin price plunge and what it means for the crypto prices dropping across the board.

What Happened in the Crypto Market?

On Thursday, Bitcoin slid from higher levels straight down to around $84,000. This quick drop caught many by surprise. Ether, the second-largest crypto, fell alongside it. Dogecoin, the popular meme coin, saw even steeper losses.

• Bitcoin: Down to $84K, lowest in 2026.
• Ether: Dropped about 5-6%.
• Dogecoin: Similar losses, hitting recent lows.

The whole market felt the pain. Total crypto market cap shrank fast as selling picked up speed. Traders watched in real-time as charts turned red.

Why Are Crypto Prices Dropping This Time?

This Bitcoin price plunge did not come out of nowhere. Here are the top reasons behind the crypto prices dropping:

1. Stock Market Sell-Off Hits Hard

The traditional stock market led the way down. Tech giants like Microsoft saw big dives on Thursday. Other tech stocks followed suit. Crypto often moves with these ‘risky’ assets.

When stocks drop, investors pull money from high-risk bets like crypto. Bitcoin and others act like tech stocks in tough times. This close link, called correlation, makes crypto vulnerable.

2. Massive Liquidations Rock the Market

Selling snowballed into huge liquidations. Over $650 million in crypto positions got wiped out in one day. This happens when leveraged trades fail – forcing sales that push prices even lower.

Bitcoin saw the most pain, but Ether and altcoins joined in. These forced sales create a vicious cycle: lower prices trigger more liquidations, leading to more drops.

3. <$84K> as a Key Support Level

Analysts call $84,000 a crucial point for Bitcoin. If it holds, prices might bounce back. But a break below could open the door to $80,000 or lower.

Past data shows Bitcoin often finds support at round numbers or moving averages. Right now, this level matches key technical indicators. Watch it closely – it could decide the next move.

Broader Picture: Risk-Off Mood Takes Over

Crypto is seen as a risky bet. In good times, money flows in. In bad times, it flows out fast. Thursday’s events fit this pattern perfectly.

Crypto-related stocks also tanked. Companies tied to blockchain felt the heat. This shows how intertwined crypto is with the wider economy.

Macro factors play a role too. Rising interest rates or economic worries make safe assets like bonds look better. Investors ditch crypto for them during dips.

Analyst Views: What Comes Next for Bitcoin?

Experts have mixed takes. Some say the <$84K> plunge is a healthy correction after a strong run in 2026. Others warn of more downside.

• Bullish side: Bitcoin could rebound if stocks recover. ETF inflows might help too.
• Bearish side: Prices may test $80K or even $75K if selling continues.

Key levels to watch:

How Does This Compare to Past Crypto Crashes?

We’ve seen drops before. In 2022, Bitcoin fell over 70%. This time, the drop is smaller so far – about 10-15% from recent highs. But the speed feels familiar.

Lessons from history: Dips like this often lead to buying chances. Smart investors zoom in on strong projects like Bitcoin and Ether.

What Should Crypto Investors Do Now?

Stay calm. Here’s simple advice:

1. Check your risk: Don’t over-leverage. Use stop-losses.
2. Dollar-cost average: Buy small amounts over time.
3. Diversify: Mix Bitcoin with stable assets.
4. Watch news: Stock market and Fed moves matter.

Long-term holders see this as noise. Bitcoin’s story is about adoption and scarcity, not short-term wiggles.

Final Thoughts on the Bitcoin Price Plunge

The <$84K> plunge shows crypto’s wild side. Linked to stocks, hit by liquidations, and testing key levels – it’s a perfect storm. But crypto has bounced back before.

Will prices drop more, or is this the bottom? Only time will tell. Keep eyes on $84K and broader markets. For now, the crypto prices dropping remind us: in this space, volatility is king.

Stay tuned for updates as the market moves. What do you think – buy the dip or wait? Share in the comments!

Discuss this news on our Telegram Community. Subscribe to us on Google news and do follow us on Twitter @Blockmanity

Disclaimer: Blockmanity is a news portal and does not provide any financial advice. Blockmanity's role is to inform the cryptocurrency and blockchain community about what's going on in this space. Please do your own due diligence before making any investment. Blockmanity won't be responsible for any loss of funds.