Bitcoin Price Drops Below $79K Line as Longs Get Torched in $208M Rout

Bitcoin price fell back below $79,000 on Monday after a brief spike to $80,537, down 1% over 24 hours to trade near $78,785.

WRITTEN BYTerence Zimwara
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Published:Sep 7, 2026, 1:16 PM EDT

Key Takeaways

• Bitcoin briefly reclaimed $80,000 before slipping 1% back to $78,785 on Monday following sharp market moves.
• Derivatives liquidations topped $208 million across crypto, with long positions accounting for $119 million.
• Bitfinex analysts noted ETF inflows and Treasury yields will dictate whether BTC can break its $82,100 ceiling.

Long Liquidations Outpace Shorts

Bitcoin price slipped under $79,000 on Monday, just hours after briefly reclaiming the $80,000 level for the first time since Friday’s sharp sell-off. Before the decline, bitcoin traded in a tight $79,600 to $80,000 band as markets continued to digest stronger-than-expected U.S. jobs data.

An attempt to reclaim $80,000 stalled near $79,700, triggering a sell-off that drove bitcoin down to $78,685. By 12:15 p.m. EST, bitcoin hovered around $78,785, down roughly 1% over 24 hours. The pullback pushed market capitalization down to $1.58 trillion, renewing doubts about the durability of gains sparked by the U.S. Treasury’s bond buyback plan.

Liquidations continued to skew toward long positions, mirroring Friday’s pattern. Coinglass data shows $55 million in leveraged bitcoin positions wiped out, with long positions accounting for $35 million compared to $20 million in shorts. Across the broader cryptocurrency market, total liquidations topped $208 million, with longs accounting for $119 million.

Bitfinex: BTC Still Constructive, but Conditions for Breakout Not Yet Met

A new report from Bitfinex analysts adds important context to the latest pullback, noting that bitcoin has “absorbed these headwinds without losing its market structure.” Bitcoin reached $82,320 on Sept. 3 before returning to its established $77,200 to $82,100 range.

The report cites last week’s solid exchange-traded fund (ETF) inflows, expanding stablecoin supply, and persistent demand for the cryptocurrency as factors supporting upside momentum.

Bitfinex analysts wrote that “liquidity is putting a floor under the price, and the short end of the Treasury curve is setting the ceiling.” They also highlighted a growing pool of profitable supply near recent highs, increasing the likelihood of selling pressure around the top of the range.

Still, the analysts’ outlook remains cautiously optimistic: “Our view on BTC remains constructive, but the conditions for a sustained advance have not yet been met.”

According to the report, those conditions include continued spot ETF inflows and expanding stablecoin supply. Conversely, elevated yields on U.S. Treasuries and an uncertain Federal Reserve rate policy remain primary constraints.

A soft set of inflation reports this week could reopen the case for the Federal Reserve to hold rates steady in September, while persistent inflation would strengthen the argument for another rate increase. Analysts noted that the clearest sign of improving market strength would be a sustained break above the current range while capital inflows remain positive and rate expectations stay elevated.

Until then, they argue the evidence supports “continued consolidation with an upside bias, rather than a confirmed breakout.”

Bitcoin Price Rally Collapse Wipes Out $295M in Long Positions

Bitcoin erased its 24-hour gains after peaking at $82,281, plunging below $78,700 before stabilizing near $79,500. Its market cap fell…

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Source: news.bitcoin.com