How Low Can Bitcoin Price Drop After the Flash Crash?

Bitcoin fell from above $79,000 toward $77,000 after a sharp rejection at a key resistance zone, triggering about $547 million in crypto liquidations. The drop raised concerns that the recent rally may be vulnerable to another correction, especially with leverage still elevated and bearish signals such as RSI divergence, rising USDT dominance, and high funding rates. Despite the sell-off, demand remains supported by $307.45 million in U.S. spot Bitcoin ETF net inflows on Aug. 21, marking five straight days of inflows. Traders are watching the $77,000 area as near-term support, while a failure to reclaim $79,000 could open downside toward $71,000 or even $70,000. Near-term direction may also be shaped by Aug. 26 U.S. GDP/PCE data, Nvidia earnings, and the Jackson Hole symposium, all of which could affect risk appetite and Bitcoin’s next move.