Bitcoin Drops 5% as Tech Selloff Triggers $370 Million in Liquidations

Bitcoin (BTC) fell about 5% to a low near $76,100 Thursday morning as a selloff in U.S. technology shares spread to crypto and forced traders out of leveraged bets.

BTC had climbed above $80,800 overnight, then lost more than $4,000 within roughly two hours of the U.S. stock market’s opening. About $370 million in leveraged crypto positions were liquidated in roughly an hour as Bitcoin broke below $77,000 and Ether (ETH) fell under $2,300. Most of the liquidations involved long positions, or bets that prices would rise.

The Nasdaq Composite fell as much as 3.9%, and the S&P 500 dropped about 2% as chip and AI shares led losses. South Korea’s Kospi closed down more than 5% earlier Thursday, with Samsung and SK hynix shares also falling.

Bitcoin’s decline erased its overnight rebound above $80,000. The $75,000 level remained a support area traders were watching after it held on election night and several times since August. Traders will next focus on Friday’s October jobs report.