Reasons Behind Bitcoin's Fall Below $100K and Future Outlook

Bitcoin Price Drop: Bitcoin fell below $100,000 for the first time in months due to a combination of heavy ETF outflows, a stronger U.S. dollar, and warnings from traditional finance about potential equity pullbacks, leading to a wave of liquidations across exchanges.

Impact of ETF Outflows: Over $1.3 billion was withdrawn from Bitcoin ETFs in just four days, causing a loss of confidence among institutional investors and triggering significant liquidations of long positions, which further exacerbated the market's decline.

Market Reaction to Macro Factors: The rise of the dollar index and concerns about global growth pressured risk assets, including Bitcoin, which is increasingly influenced by macroeconomic conditions, leading to a cautious market sentiment.

Long-Term Outlook: Despite the recent volatility, market veterans view this pullback as a typical part of Bitcoin's cyclical behavior, with long-term fundamentals remaining strong, suggesting that the current situation may be a test of conviction rather than the onset of a prolonged bear market.