The Bank of Japan adopts hawkish measures, BTC gets liquidated in a series of falls, breaking below $90,000.

On December 1st, the Governor of the Bank of Japan, Kazuo Ueda, made a bold move—hinting at the most aggressive interest rate hike in history. The market immediately exploded, with the probability of a rate hike in December soaring to 64%. The yen strengthened in response, and the short-term Japanese government bond yields hit a new high since 2008. This operation directly stirred global funds to reshuffle, with the dollar and high-risk assets both being hit hard. Meanwhile, the United States and Venezuela were in a diplomatic spat, causing risk aversion sentiment to surge.

The crypto market naturally did not escape this either. Today, during the Asian session, BTC experienced a direct plunge, with liquidation amounts piling up crazily. By looking at the liquidation map, one can find that the position of $92,300 is densely packed with long positions, becoming the “explosion center” of this round of decline. Once the price breaks below this level, a chain liquidation begins—$88,300, $86,200, these secondary liquidity zones are being pierced one after another, and it is still exploring deeper support levels.

From a technical structure perspective, BTC has broken below the previous consolidation range. Looking upward, the two liquidation dense areas at 90,300 and 92,300 have now become clear resistance levels; looking downward, 86,200 and 84,300 may form support. However, if the market continues to be pessimistic, it cannot be ruled out that it will test the larger liquidity pool near 82,300.

In simple terms, this time the Bank of Japan's shift to a hawkish stance, coupled with geopolitical events, has directly triggered the market to reprice. This wave of BTC is a typical “collective liquidation of long positions at high levels”. Next, we need to see if funds can accumulate again in those areas of dense liquidity below. In the short term, the market still shows a tendency to fluctuate downwards, and it is recommended to closely observe whether the structure can be repaired and if there are signs of fund replenishment.