Key Points
- •Bitcoin crashed to $107,000, raising concerns among investors.
- •Institutions selling Bitcoin amid rising gold prices.
- •Gold reached new highs as a debasement trade hedge.
In October 2025, Bitcoin experienced a substantial price drop, falling to the $110,000–$107,000 range as notable selling pressures amplified market volatility.
This market downturn highlights Bitcoin's vulnerability amid economic uncertainties, sparking discussions on its comparative risk profile to traditional hedges like gold.
Bitcoin experienced a price crash in October 2025, reaching between $110,000–$107,000. Experts warned about possible further declines if current market conditions persist. Gold's surge to all-time highs highlights its preferred status as a debasement hedge.
Key figures like Julio Moreno and Ali Martinez analyzed the situation. Moreno noted short traders targeting Bitcoin, while Martinez emphasized the importance of reclaiming $119,000, warning of risks without it. Mike McGlone pointed out Bitcoin's underperformance compared to gold.
The Bitcoin crash led to over $19 billion in crypto value losses, with leveraged positions hit hardest. More than $690 million in liquidations occurred within a single day, affecting investors severely. Institutional selling intensified the downturn.
Assets like Ethereum and Solana experienced notable losses, reflecting the broader market impact. Ethereum dipped to ~$3,878 before stabilizing, while other altcoins faced significant drawdowns. On-chain data showed a decline in total value locked for DeFi protocols.
Bitcoin ETF net outflows increased selling pressure, underscoring the market's fragility. Historians have noted a pattern of gold outperforming in risk‑off environments, drawing comparisons to previous market distress episodes.
The current market situation may lead to broader financial implications. Institutional and regulatory interest in crypto markets remains cautious, while gold continues to attract capital as a safe haven. Historical trends suggest a continued divergence between digital assets and traditional safe investments.
Quotes
Julio Moreno, Head of Research, CryptoQuant, “Short traders are repeatedly attempting another Bitcoin price crash to the key $110,000–$108,000 range... a significant buildup of short positions occurred just before Friday’s crypto market crash.”