Multiple pressures on Bitcoin converge, approaching $70,000, with liquidity depletion becoming the biggest concern

As January approaches the end, Bitcoin is experiencing a “three-front assault.” Stablecoin withdrawals are significant, US investors are collectively selling off, and miners are facing selling pressure—multiple stresses simultaneously testing this world’s largest crypto asset at a critical psychological threshold. According to the latest data, Bitcoin has fallen to $88,351, a 3.01% decline over 7 days, and concerns about breaking below $70,000 are rapidly intensifying.

Liquidity Contraction Is the Root Issue

The most noteworthy signal from this decline comes from the stablecoin market. According to Santiment data, the market cap of the top 12 stablecoins has shrunk by approximately $2.24 billion in just 10 days, closely mirroring Bitcoin’s roughly 8% decline during the same period. This may seem like a small number, but the implications behind it are crucial: investors are no longer rotating funds within the crypto ecosystem but are directly cashing out into fiat currency.

What does this mean? It indicates that the market’s absorption capacity is weakening. In previous bear markets, funds would flow from risk assets into stablecoins and then re-enter during rebounds. But this time, some funds are flowing into traditional safe-haven assets like gold and silver, reflecting a genuine decline in market risk appetite for crypto assets.

This is also evident from the performance of spot ETFs. According to the latest data, Bitcoin spot ETFs saw a net outflow of $1.33 billion this week, the second-highest ever. BlackRock’s IBIT experienced a net outflow of $537 million, and Fidelity’s FBTC saw a net outflow of $451 million. Actions by institutional investors often better reflect true market sentiment.

CEX Premium Turns Negative: Selling Pressure in the US Market

A more direct signal of selling pressure comes from the US market. The premium index of mainstream centralized exchanges (CEX) has fallen to a one-year low and entered negative territory—meaning US users are selling Bitcoin at prices below the global average. CryptoQuant data shows that the 7-day average premium has hit its lowest point since the beginning of the year.

What does a negative premium usually indicate? It reflects active selling by investors in that region. In the globalized crypto market, the US, as the largest hub of institutional investors, has a significant influence on global prices. When US investors collectively turn bearish, it often signals greater downward pressure.

Miner Selling Pressure: Chain Reaction from Extreme Weather

The third layer of pressure comes from miners. The US is experiencing a winter storm called “Fern,” and the US accounts for about one-third of the global Bitcoin hash rate—enough to cause systemic impact.

According to the latest data, Foundry USA’s Bitcoin mining hash rate has dropped by about 60% since last Friday, from nearly 340 EH/s to around 242 EH/s. Other mining pools like Luxor have also seen significant declines. Extreme cold weather has driven up electricity costs, forcing miners to reduce load to ease grid stress.

This may seem like a short-term phenomenon, but underlying risks are deeper. If miners’ revenues remain under pressure, they may be forced to sell Bitcoin to cover fixed expenses. According to CryptoQuant analyst Darkfost, this could add additional selling pressure. Miner sell-offs are often early indicators of price declines.

Technical Indicators Also Sound Alarm

From a technical perspective, the outlook is equally grim. Veteran trader Peter Brandt pointed out that Bitcoin has broken below the ascending channel since December 2025, with daily chart momentum weakening. This is not just a technical indicator but a reflection that the upward energy in the market has been exhausted.

Based on his model, if Bitcoin cannot regain above $93,000, the price could fall back to $81,800, or even further down to the $66,800 region. This means that from the current $88,351, there is still significant downside potential. The $70,000 level is becoming a focal point for both bulls and bears.

Macro Risks Compound the Situation

Even more unfavorable, these pressures are unfolding against a backdrop of macroeconomic uncertainty. Recent news indicates multiple macro concerns: Trump may impose a 100% tariff on Canadian imports, the US government faces a partial shutdown (funding expires on January 30), and Japan and the US may coordinate interventions in the forex market to stabilize the yen.

These macro events have already triggered over $550 million in leveraged long liquidations, further intensifying downward pressure. In a calendar filled with macro risk events, market volatility is expected to remain high.

Possible Future Trends

Under the combined effects of liquidity contraction, increased US market selling, and potential miner sell-offs, Bitcoin’s short-term outlook faces severe tests. Based on technical support levels, if it cannot hold above $93,000, the next support zones could be $81,800 or $66,800.

The $70,000 mark is a key psychological level because it is an integer and an important market psychology boundary. If it breaks below this level, it could trigger more stop-loss orders and panic selling.

Summary

Bitcoin is currently under multi-dimensional pressure: liquidity depletion weakens market absorption, collective selling by US investors creates direct price pressure, potential miner sell-offs could add further shocks, and technical breakdown signals are not optimistic. In this context, $70,000 is becoming a critical psychological and technical threshold.

In the short term, market focus should be on two aspects: first, whether macro risks show clear signals (such as a government shutdown actually occurring), and second, whether Bitcoin can stabilize above $93,000. If both conditions are not met, further downside pressure is likely unavoidable. For holders, the current environment indeed calls for increased caution.