BlackRock’s $70B Bitcoin Gamble: Quantum Threats Shake Crypto Markets

BlackRock Faces $70 Billion Bitcoin Risk Amid Quantum Computing Threats

According to Forbes, BlackRock, the world’s largest asset manager with approximately $10 trillion under management, is facing heightened risks with its spot Bitcoin ETF, which now holds around 3% of the total 21 million Bitcoin supply—valued at $70 billion at current prices. The recent sharp decline in Bitcoin’s price, down 6% since its all-time high last week, has intensified concerns. A significant new risk has emerged: quantum computing. BlackRock’s latest regulatory filing warns that advances in quantum computing could undermine the cryptographic algorithms securing Bitcoin and other digital assets. This warning was escalated by a Google research paper, which found that the number of quantum computer qubits needed to break public-key encryption could be 20 times lower than previously estimated.

“If this is even remotely true, combined with everything else happening right now, the only safe trade are hard assets and, dare I say, gold,” said investor Chamath Palihapitiya, a vocal Bitcoin supporter.

David Carvalho, CEO of Naoris Protocol, stated that “no blockchain is ready to withstand a quantum attack when this becomes possible, which could very well be much earlier than 2030.” BlackRock’s ETF, which debuted in January 2024, has been a major driver of Wall Street’s adoption of Bitcoin, but the quantum threat now looms large over its $70 billion holding.

BlackRock’s Bitcoin ETF holds 3% of all Bitcoin, worth $70 billion.
Quantum computing could break Bitcoin’s cryptography much sooner than expected.
Industry experts warn that no blockchain is currently quantum-resistant.

Key Takeaway: BlackRock’s massive Bitcoin exposure is now under threat from rapid advances in quantum computing, raising existential questions for the security of digital assets. (Source: Forbes)

Crypto Bulls Suffer $600 Million in Liquidations as Bitcoin Falls Below $104,000

CoinDesk reports that Bitcoin’s price drop below $104,000 triggered over $600 million in liquidations, the highest since February. In total, $688 million in liquidations occurred, with 89% on the long side, indicating a heavily bullish market that was caught off guard. The largest single liquidation was a $12.25 million BTC/USDT order on OKX. Bitcoin-tracked futures led the losses at over $153 million, followed by Ethereum at $122 million, Solana at $33 million, XRP at $30 million, and Dogecoin at over $22 million.

Asset	Liquidations
Bitcoin	$153 million
Ethereum	$122 million
Solana	$33 million
XRP	$30 million
Dogecoin	$22 million

The sell-off was exacerbated by U.S. President Donald Trump’s decision to double tariffs on Chinese steel and aluminum to 50%, which rattled global trade and crypto markets. Data from Deribit shows open interest in Bitcoin futures has surged 51% since April, with options up 126%. However, large holders (“whales”) have shifted from accumulation to net selling, sending coins back to exchanges—a classic sign of profit-taking.

Bitcoin fell below $104,000, triggering $600 million in liquidations.
Major cryptocurrencies like Ether, XRP, and Solana also saw significant drops.
Market volatility is expected to continue amid global trade tensions.

Key Takeaway: The crypto market experienced its largest liquidations since February, with over $600 million wiped out as Bitcoin dropped below $104,000, driven by both market sentiment and geopolitical tensions. (Source: CoinDesk)

Bitcoin Bull Run Faces Delay as $104,450 Weekly Close Becomes Critical

Cointelegraph highlights that Bitcoin is now trading below its previous all-time highs, with analysts warning of a potential “deeper pullback.” Data shows BTC/USD dropped 8%, returning below its old highs from December 2024. Onchain analytics from CryptoQuant indicate that Bitcoin’s demand growth in the last 30 days reached 229,000 BTC, close to the previous top of 279,000 BTC in December 2024. Unrealized profits averaged over 30% at $111,000, suggesting a pause in the rally may be imminent.

Popular trader Mags emphasized the importance of the upcoming weekly candle close, with $104,450 as a key support level. If Bitcoin closes below this level, a deeper pullback could form, possibly creating an inverse Head and Shoulders pattern before the next upward move. Analyst Aksel Kibar maintains a bullish outlook as long as the price holds above $73,700, with a midterm target of $137,000 for 2025. CryptoQuant sees $120,000 as a key profit-taking station in the near term.

Bitcoin dropped 8% and is testing support at $104,450.
Demand growth and unrealized profits suggest a pause in the rally.
Analysts see potential for a deeper correction before the next bull run.

Key Takeaway: Bitcoin’s bull run may be delayed if it fails to close above $104,450 on the weekly chart, with analysts warning of a possible deeper correction before a return to price discovery. (Source: Cointelegraph)

Analyst Predicts Possible Bitcoin Crash to $50,000 Amid Market Uncertainty

Bitcoinist.com reports that crypto analyst Altcoin Sherpa raised the possibility of Bitcoin crashing to $50,000 by year-end, though he later clarified this was a joke and not his actual expectation. He remains cautious, noting that Bitcoin’s price dropped from around $106,000 to as low as $103,100 following a post by Donald Trump accusing China of violating a trade agreement. Altcoin Sherpa identified $104,000 as a key point of control, suggesting a bounce could occur from this level, but warned that escalating U.S.-China tensions could push prices lower.

Another analyst, Titan of Crypto, suggested Bitcoin could drop to $102,700, with the daily Kijun at this level acting as a potential support. At the time of reporting, Bitcoin was trading at around $103,700, down over 2% in the last 24 hours.

Bitcoin dropped from $106,000 to $103,100 after Trump’s trade comments.
Key support levels identified at $104,000 and $102,700.
Analysts remain cautious amid ongoing geopolitical tensions.

Key Takeaway: While a crash to $50,000 is considered unlikely, analysts warn of further downside risk for Bitcoin, with key support levels at $104,000 and $102,700 amid heightened U.S.-China tensions. (Source: Bitcoinist.com)

Crypto Market Tanks: $600 Million Liquidated Amid China Ban and ETF Outflows

The Market Periodical details a sharp downturn in the global crypto market, with over $600 million in long positions liquidated in 24 hours. Bitcoin saw $207.9 million in liquidations, while Ethereum faced $107.9 million. The total market cap fell by 4.6% to $3.45 trillion. Spot Bitcoin ETFs experienced net outflows of $358.6 million, ending a 10-day inflow streak. The largest outflow was from Fidelity’s FBTC at $166 million, followed by Grayscale’s GBTC at $107 million. BlackRock’s IBIT was the only fund with positive flow at $125 million.

ETF	Net Flow
Fidelity FBTC	-$166 million
Grayscale GBTC	-$107 million
BlackRock IBIT	+$125 million

Regulatory risks increased as China announced a new ban on holding cryptocurrencies, prohibiting both retail and institutional ownership. Thailand’s SEC also filed legal action against five unlicensed crypto platforms. Bitcoin’s daily trading volume surged almost 30% to $128 billion, while XRP’s volume spiked over 33%. Despite this, Bitcoin fell 1.94% to $105,692 and Ethereum dropped 3.53% to $2,625. The only category in the green was stablecoins, up 0.19%.

$600 million in long positions liquidated in 24 hours.
China bans crypto ownership; Thailand cracks down on unlicensed exchanges.
Spot Bitcoin ETFs see $358.6 million in net outflows.

Key Takeaway: The crypto market is under pressure from regulatory crackdowns in China and Thailand, as well as significant ETF outflows, leading to sharp declines and high liquidations. (Source: The Market Periodical)

Dogecoin Founder Comments on Crypto Market Decline

U.Today reports that Billy Markus, co-creator of Dogecoin (known as “Shibetoshi Nakamoto” on X), commented on the recent crypto market decline with his characteristic irony, stating, “I liked crypto about 10% better yesterday.” Bitcoin dropped by more than 2%, falling from $105,500 to $104,400, and has lost about 5% since Thursday, dropping below $108,800. The broader crypto market followed, with top 20 coins dropping 2%-8% in the past day.

“Experts usually explain Bitcoin spikes or crashes after they happen, not before,” Markus noted, expressing skepticism about market predictions.

Markus is known for his critical stance on crypto trading and predictions, often highlighting the unpredictability of the market. He holds only a small amount of Dogecoin and 0.001 BTC, having sold most of his holdings in 2015.

Bitcoin fell over 2% to $104,400, with a 5% drop since Thursday.
Dogecoin founder remains skeptical about market predictions.

Key Takeaway: The Dogecoin founder’s comments reflect widespread uncertainty and skepticism in the crypto community amid recent market declines. (Source: U.Today)

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