Bitcoin experienced a sharp decline to its lowest level in 50 days, dropping below $108,000 and triggering $137 million in liquidations of leveraged bullish positions. US reported a 22% increase in trade deficit, raising concerns of economic growth impact. Insider stock sales and Chinese banks’ rising bad debt added to investor caution.

Top 200 stock trades last week were all sales, totaling $961 million by Walmart’s Jim C. Walton and others. Chinese banks reported record-low margins and rising delinquencies. Nvidia’s data center revenue came from just two clients, leading to stock decline. SMCI warned of financial reporting weaknesses, causing stock drop.

US two-year Treasury yield fell to 3.62%, its lowest in four months, showing signs of risk aversion and preference for safety. Bitcoin whales and miners selling off added to negative sentiment, but main driver of decline remains weakening macroeconomic outlook. Traders reducing exposure ahead of US national holiday.

Read more at Cointelegraph: Bitcoin Drop Driven By US Trade Deficit, China Banks