Bitcoin price prediction: Wild March as $1 billion liquidated in recent sell-off
Bitcoin price remains volatile in March, triggering $1 billion in liquidations.
Bitcoin price action in March has been volatile, with significant swings triggering widespread liquidations.
After opening the month at $84,400, Bitcoin initially surged 14% to $96,500 before reversing 15% to $81,500. The recent downturn saw Bitcoin drop below its monthly opening price in the past 24 hours, triggering approximately $1 billion in liquidations.
Now, Bitcoin is trading near $87,500, approaching a key resistance level at $89,400.
The recent sell-off has put leveraged traders under pressure. Data from Coinglass shows that 305,170 traders were liquidated as Bitcoin dipped below $84,400, with the majority of these liquidations coming from long positions. The forced selling contributed to additional downward momentum, reflecting the risks of high leverage in volatile market conditions.
Bitcoin price dynamics (Jan 2025 - March 2025). Source: TradingView.
Bitcoin technical outlook: Downtrend persists with RSI in bearish zone
From a technical standpoint, Bitcoin remains in a broader downtrend since peaking at $109,000. With daily RSI remaining in bearish territory, if downward pressure persists, Bitcoin could extend losses below its March opening price of $84,400, potentially exposing further downside risk.
Key levels to watch include the $89,400 resistance, which previously acted as a critical support zone in January before flipping into resistance. If Bitcoin fails to reclaim this level, selling pressure could intensify. On the downside, the $84,400 level remains an important psychological and technical support. A breakdown below this level may trigger another wave of liquidations, amplifying downward pressure.
With Bitcoin struggling to gain momentum and indicators pointing to continued weakness, traders should monitor price movements carefully. The next decisive move will likely depend on whether Bitcoin can reclaim lost ground or extend its decline below key support levels.
Bitcoin surged over 14% in early March after Trump’s crypto reserve announcement. The price then reversed, dropping over 4% to $82,500 before stabilizing near $84,200.
