I saw someone blaming the reason for this round of $BTC fall on the Prince Group being confiscated of 120,000 BTC by the US government, claiming that the myth of BTC Decentralization has been shattered, so the big dump is going to drop to zero.

It really made me laugh, speaking as if they understand Bitcoin so well. If Bitcoin were to crash just because it 'can't be used for gray and black markets', then it would have been over when Silk Road was shut down a few years ago. The US, Germany, and the UK all confiscated a bunch of Bitcoin back then, and what happened? The price kept going up. The Chen Zhi incident wasn't even an industry-specific negative factor; it was just an insider betrayal.
The real reason for this round of fall is very simple: no one is buying. The order book for buy orders is almost empty, which is a typical case of liquidity exhaustion. The dollars in the entire market are decreasing, institutions are starting to cash out, selling assets to recover funds. Just look at the recent news; Amazon and Meta are actually issuing bonds to fund AI, a move that hasn't been seen in three years, indicating that their own cash flow can no longer keep up with the burn rate of AI. Meta has been questioned by the capital market because of this, and its stock price has almost given back the entire annual gain. Leading tech companies are starting to run out of money; how can the market not be alert?
Moreover, the big dump on October 11 shattered the sentiment of the entire crypto market, and it hasn't fully recovered since. The reduced expectations for the Federal Reserve to lower interest rates and Bitcoin's four-year cycle are all contributing factors, but none are decisive.
This round of fall has nothing to do with the so-called black industry; the selling pressure mainly comes from the Bitcoin ETF (especially iBIT). Some people say that "Bitcoin is a safe-haven asset," which is even more ridiculous. Bitcoin is essentially a reserve asset, an inflation hedge tool, but it has never been a safe haven. A safe haven is where funds run to out of fear; Bitcoin's rise and fall depend on the liquidity of the dollar — when there is more dollars, it rises, and when the dollar is tight, it falls. In simple terms, it is just a reservoir for the dollar.
As long as there is enough money in the market and strong buying pressure, even if a large buy order is placed at 100,000, who can push it down? The shorts have to eat through those 10,000 coins first. So don't drag this round of market into the idea of "black industry cannot launder money"; that's just the imagination of outsiders.
#比特币行情观察