Sudden BTC Slump: Inside the Forces Driving The Price Down

Sudden BTC Slump: Is More Pain Ahead?

After reaching a local high of $111,814, Bitcoin (BTC) began a week-long slump that ended on May 30, 2025, when it fell to $105,969, a 2.31% decrease from the day before. The decline occurs as a result of institutional repositioning, the expiration of billions in cryptocurrency futures, and macroeconomic headwinds that have heightened market volatility.

One of the main drivers of the movement was the expiration of over $11.5 billion worth of Bitcoin options contracts, which usually leads to more price fluctuations and short-term selling. A surge of market activity brought on by this flood of expiring contracts caused Bitcoin to fall below important psychological levels.

Bearish Signals Emerge: Bitcoin Tests Critical $100K Support

In the short term, technical indications show a bearish turn. With the Relative Strength Index (RSI) indicating further selling pressure, Bitcoin has dropped below both its 50-day and 200-day simple moving averages (SMA). Bitcoin is still above the crucial $100,000 support zone despite the downturn, which suggests that if this level holds, the overall uptrend might not be broken.

Bitcoin Drops Nearly 6% From May Highs: Is the Bull Run Still Alive?

Analysts warn that additional losses may be imminent if Bitcoin breaks above the $100,000 mark, as the current drop represents a roughly 5.9% decline from May’s highs. A recovery from this area, however, may indicate that the bull cycle is continuing, with possible upside goals close to $120,000. As of right now, Bitcoin bulls seem wary but not defeated. As the market assesses the strength of long-term support and deals with the aftermath of options expiry, the next few days could be crucial.

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