Bybit Hack Shakes Market as Bitcoin Struggles Below $100K

Bitcoin has experienced a quiet week, with price action stuck in a narrow range between $95K and $100K. Bulls have struggled to reclaim the $100K mark

Bitcoin price experienced a quiet week, with limited price action as bulls struggled to reclaim the $100K mark and bears failed to break the $95K support. However, the market sentiment shifted drastically on Friday following a $1.4+ billion ETH hack on the cryptocurrency exchange Bybit.

The news injected uncertainty and caused an increase in volatility across Bitcoin and the broader crypto market. Despite a swift and transparent response from the Bybit team, some investors panicked and withdrew funds, adding to the sell pressure on various assets.

According to CryptoQuant’s Head of Research, Julio Moreno, Bybit's Bitcoin reserves have decreased by ~2K BTC as the exchange moves funds and users withdraw their assets. However, despite the decline, Bybit still holds around 68K BTC, maintaining a solid reserve to support user withdrawals and platform operations.

“Nothing out of the ordinary here, as withdrawals are within typical exchange activity levels,” Moreno added.

Bitcoin Price Impact

Bitcoin price remained relatively stable after the news, hovering around the $95,800 mark. However, investors are closely monitoring the situation, as large outflows from centralized exchanges could impact BTC’s short-term direction.

If sentiment worsens and fear spreads, further outflows from centralized exchanges could impact BTC’s short-term direction. The market remains on edge, waiting to see whether Bitcoin will hold key support or if increased uncertainty will trigger further downside pressure.

Bitcoin price now faces a crucial test at the 4-hour 200 exponential moving average (EMA) at $98,100. If BTC fails to reclaim this level and push above $100K in the coming weeks, a massive retrace could follow, potentially sending the price toward lower demand levels around $91K–$94K.

Conversely, a breakout above $100K would confirm a bullish reversal and could trigger a rally toward all-time highs above $109K.

For now, short-term traders remain cautious, monitoring whether BTC can sustain support above $95K or if another leg down is imminent. The next few days will be crucial in determining whether Bitcoin continues to consolidate or finally breaks out of its current range.