Bitcoin dropped below $80,000 during Thursday’s Asian trading session as disappointing technology earnings and the Federal Reserve’s hawkish stance triggered a wider retreat from risk assets. The move interrupted Bitcoin’s two-day recovery and coincided with $356 million in liquidations across cryptocurrency futures markets over a 24-hour period.

The leading cryptocurrency fell from above $81,700 to around $79,800, putting additional pressure on altcoins and forcing traders with bullish positions to close their bets.

Tech Earnings Disappointment Triggers Crypto Sell-Off

The downturn gathered pace after U.S. markets closed on Wednesday, when Alphabet reported third-quarter revenue and operating income below analyst expectations.

Alphabet recorded $127.58 billion in revenue, slightly under the $127.93 billion forecast. Operating income came in at $40.58 billion, missing the projected $43.16 billion. Earnings per share also fell to $2.12 from $2.87 a year earlier.

Google Services generated $96.30 billion in revenue, compared with the $98.40 billion expected. Its Search division reported $63.35 billion, below the $64.85 billion estimate.

Google Cloud outperformed expectations, bringing in $30.71 billion against a forecast of $29.10 billion. However, that growth failed to offset concerns about the company’s overall results, and Alphabet shares fell 10% in premarket trading on Thursday.

The negative sentiment spread through Asian markets, where Samsung shares declined more than 5% after its semiconductor division fell short of investor expectations.

Samsung’s chip business posted a 15-fold jump in operating profit to 106.5 trillion won for the three months ending in September. The result nevertheless missed the average analyst forecast of 108.5 trillion won.

The company also estimated that annual capital expenditure would reach 84.4 trillion won, or about $63 billion, roughly 60% higher than previously indicated.

Despite a 39% increase in group-wide net income, the earnings report unsettled investors. South Korea’s Kospi index dropped more than 2%, while Nasdaq futures fell 1.4%.

The resulting risk-off sentiment extended to cryptocurrencies, pushing Bitcoin, Ether, XRP, Solana and other digital assets lower as investors reduced exposure to volatile investments.

Hawkish Fed Outlook Adds to Investor Caution

The Federal Reserve kept its benchmark interest rate within the 3.75%–4% range overnight. Although the central bank left borrowing costs unchanged, its stance was viewed as hawkish because inflation remains a concern.

Fed Chair Kevin Warsh acknowledged that inflation had eased but said price pressures were still too high. ING continued to forecast another rate increase in December, following the September hike.

Rick Rieder, BlackRock’s chief investment officer of global fixed income and head of its global allocation investment team, advised investors against making aggressive bets on the direction of interest rates.

“Real yields remain attractive, and there’s considerable income available across high-quality fixed-income markets,” Rieder said.

He explained that BlackRock favors maintaining a moderate duration position, allowing investors to capture available income while taking a cautious approach as economic conditions develop.

A persistently hawkish Fed could keep inflation-adjusted bond yields elevated, potentially making traditional fixed-income investments more appealing than cryptocurrencies. Such conditions may limit capital flows into Bitcoin and other speculative assets.

Crypto Futures Liquidations Reach $356 Million

Bitcoin’s move below $80,000 intensified selling across derivatives markets, putting leveraged traders under greater pressure.

Market data showed that $356 million in cryptocurrency futures positions were liquidated over 24 hours. Bullish positions accounted for $205 million, indicating that traders anticipating higher prices suffered a significant share of the losses.

Bitcoin futures recorded $94 million in liquidations, while Ether futures contributed another $72 million.

The latest figures highlight the risks of leveraged trading during periods of heightened market uncertainty. With technology shares under pressure and the Federal Reserve maintaining a cautious stance on inflation, Bitcoin’s retreat below $80,000 has renewed concerns about the durability of its recent rebound and the outlook for the broader cryptocurrency market.